Greece Submits Revised Budget For New Funds

Greece submitted fresh proposals to its creditors in a bid to unlock bailout funds with just three weeks to go before the country’s financial safety net expires.

Two documents were handed to European Economic Affairs Commissioner Pierre Moscovici to supplement plans set out last week, a Greek official said Tuesday. The papers address creditors’ concerns about Greece’s budget targets and include a proposal to ensure the sustainability of Greek debt, said the official, who asked not to be named in line with policy.

“We have received new proposals and we are examining them with diligence and care,” European Commission spokesman Margaritis Schinas said at a press conference in Brussels.

Almost four months after Prime Minister Alexis Tsipras agreed an extension of Greece’s rescue agreement, no new funds have been disbursed and the standoff between creditors and the anti-austerity coalition in Athens risks leaving Europe’s most-indebted state unable to meet debt payments.

After a series of maneuvers allowed Greece to stay afloat while shut off from both capital markets and official funding, the end of this month may be the end of the line unless Tsipras accepts the conditions on financial aid. The bailout deal is set to expire as about 1.5 billion euros ($1.7 billion) of International Monetary Fund payments come due.

Greek stocks rebounded on Tuesday, with the Athens Stock Exchange index gaining 1.7 percent at 2:11 p.m local time. Yields on two-year notes fell 54 basis points to 25.37 percent.


Dean Popplewell

Dean Popplewell

Vice-President of Market Analysis at MarketPulse
Dean Popplewell has nearly two decades of experience trading currencies and fixed income instruments. He has a deep understanding of market fundamentals and the impact of global events on capital markets. He is respected among professional traders for his skilled analysis and career history as global head of trading for firms such as Scotia Capital and BMO Nesbitt Burns. Since joining OANDA in 2006, Dean has played an instrumental role in driving awareness of the forex market as an emerging asset class for retail investors, as well as providing expert counsel to a number of internal teams on how to best serve clients and industry stakeholders.
Dean Popplewell