With the countdown to default now at just 10 days, Greece and its creditors are scrambling to come to some kind of agreement that will allow the country to repay the IMF on June 5. The payment is not possible without the disbursement of all or a portion of a €7.2 billion tranche of aid under Athens’ current bailout program.
On the heels of a vote which betrayed fractures [5] within PM Alexis Tsipras’ ruling Syriza party, a Eurogroup meeting in Brussels scheduled for today has now been postponed, according to a Greek official who did not give a reason for the cancellation. Negotiations will reportedly take place over the phone later today once Athens has had time to conduct “preparatory discussions.”
- GREEK OFFICIALS TO MEET CREDITORS IN BRUSSELS TMRW: OFFICIAL
- GREECE, CREDITORS TO HOLD TELECONFERENCE TODAY: GOVT OFFICIAL
Meanwhile, there are rumors that the country will impose a levy on ATM withdrawals in an effort to encourage Greeks to use credit cards and thereby stem the deposit outflow that’s crippling the Greek banking sector. These reports were promptly denied by the Finance Ministry.
First there was this, via Bloomberg:
Greece considering to impose levy on bank transactions, such as cash withdrawals, Greek Finance Minister Yanis Varoufakis tells reporters in Athens.
And then this shortly thereafter:
- GREECE WON'T IMPOSE LEVY ON ATM TRANSACTIONS: FINANCE MINISTRY
There were suggestions earlier this month that Athens had floated a levy on certain bank transactions as a concession to creditors.
And meanwhile...
- FAILURE TO REACH GREEK DEAL MAY MEAN UNCERTAINTY: U.S. OFFICIAL
