No Deal: Eurogroup Concludes Meeting On Greece, No Further Fund Disbursement

As expected, and as tipped here earlier, today's Eurogroup meeting concluded without an agreement between Greece and its creditors as both sides cited "progress" and regurgitated familiar rhetoric around the need for a "comprehensive list of reforms",  and a universal desire for a favorable outcome. 

Full statement:

The Eurogroup today took stock of the state of play with the ongoing negotiations between the Greek authorities and the institutions. We welcomed the progress that has been achieved so far. We note that the reorganisation and streamlining of working procedures has made an acceleration possible, and has contributed to a more substantial discussion. At the same time, we acknowledged that more time and effort are needed to bridge the gaps on the remaining open issues. We therefore welcome the intention of the Greek authorities to accelerate their work with the institutions, with a view to achieving a successful conclusion of the review in a timely fashion.

 

The Eurogroup reiterated that its statement of 20 February remains the valid framework for the discussions. Once the institutions reach an agreement at staff level on the conclusion of the current review, the Eurogroup will decide on the possible disbursements of the funds outstanding under the current arrangement.

And from chairman Dijsselbloem:

  • DIJSSELBLOEM SAYS INSTITUTIONS BRIEFED EUROGROUP ON GREECE
  • DIJSSELBLOEM SAYS GREECE NEGOTIATIONS HAVE ADVANCED
  • DIJSSELBLOEM SAYS MORE TIME NEEDED FOR COMPREHENSIVE AGREEMENT
  • DIJSSELBLOEM SAYS GREECE NEEDS TO DELIVER COMPREHENSIVE LIST
  • DIJSSELBLOEM SAYS COMPREHENSIVE DEAL NEEDED FOR ANY PAYMENT
  • DIJSSELBLOEM SAYS NO GROUNDS TO DISCUSS 3RD PROGRAM YET
  • DIJSSELBLOEM SAYS GREECE NEEDS TO COMPLETE 2ND PROGRAM FIRST
  • DIJSSELBLOEM SAYS NO DETAILED DISCUSSION ON GREEK LIQUIDITY

In light of the above, we would ask the following: where, if not from local governments who have been extremely reluctant to comply with Athens' cash sweep decree, and if not from the IMF which will apparently not be paying itself tomorrow after all, is Greece going to get three quarters of a billion euros in the next 12 hours?

Greece has given order for ~EU750m IMF repayment due tomorrow, a person familiar with the matter says. Official asked not to be named, as he wasn’t authorized to speak publicly on the matter.

For those wondering what the IMF's procedure is in the event of a non-payment, here's a useful graphic which, we would note, seems to suggest that the matter could be kept quiet in the short-term if absolutely necessary: