Greek Should Finalize Bailout Talks by August 20

Greece should wrap up bailout talks with international lenders by August 20, once parliament approves the second package of measures demanded by creditors on Wednesday, the government’s spokeswoman said.

Prime Minister Alexis Tsipras has faced a revolt in the ruling Syriza party over the mix of tax hikes and spending cuts demanded by lenders but is expected to get the package through parliament with the support of pro-European opposition parties.

But he said last week he aimed to seal the bailout accord, which could offer Greece up to 86 billion euros ($93 billion) in new loans to bolster its tottering finances and ward off the threat of being forced out of the euro.

“Immediately after the vote of the prior actions, negotiations with the lenders will start, with August 20th being the final date,” government spokeswoman Olga Gerovasili said in a statement.

Officials from the creditor institutions, the European Commission, the European Central Bank and the International Monetary Fund are due in Athens on Friday for meetings with the government, Deputy Finance Minister Dimitris Mardas said.

Wednesday’s vote in parliament follows a first vote last week on the so-called “prior actions” demanded of Greece as a pre-condition before the start of full bailout talks.

via Reuters

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza