Brussels, 25/10/2012 (Agence Europe) - An extraordinary Eurogroup on Greece is expected to take place by video-conferencing before Thursday 1 November, according to a European source. Eurozone finance ministers are expected to endorse decisions taken during the Euro Working Group, held during the afternoon of Thursday 25 October.
According to the Greek press, the meeting on Thursday 25 October was to cover the preliminary conclusions reached by Athens' troika of creditors (the European Commission, the European Central Bank and the IMF). Decisions by the troika are expected to concern the granting of Greece's next shot in the arm of €31.5 billion, which the country needs urgently by 16 November, when State reserves will be exhausted. Ministers are also expected to decide on the matter of whether the country should be granted more time. Jörg Asmussen, a member of the ECB Executive Board, warned that making such a concession will oblige eurozone countries to open up the purse strings again (see EUROPE 10717). The French daily Les Echos states this new contribution comes within a range of €16-20 billion.
On the subject of negotiations on the €13.5 billion savings required for remaining under financial perfusion, although an agreement seems close to hand with the creditors, the same cannot be said within the government coalition. The Dimar party had in fact immediately expressed hostility towards labour market reforms recommended by the troika. The series of measures is expected, however, to be endorsed by the Greek parliament. On this point, the Greek finance minister, Yannis Stournaras, told the AFP on Thursday that his country had no more wriggle room left for any further delay. Stournaras, who was hospitalised earlier in the day due to the strain of work, intends to submit a complete package to the parliament next week. (EL/transl.jl)