Saturday September 20, 2014 Search
Weather | Athens
27o C
19o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Dallara hardens stance on PSI

 Prospects for debt swap unclear after head of group representing bondholders sets limit

The prospects for talks between Greece and private investors holding Greek debt appeared unclear again late on Sunday as the head a steering committee representing the bondholders hardened his stance in negotiations.

As Finance Minister Evangelos Venizelos travels to Brussels on Monday for a Eurogroup summit where a second bailout for Greece had been due to be discussed, the comments by the head of the Institute of International Finance, Charles Dallara, have created fresh concern about the outlook of a crucial debt swap that must be sealed before further rescue aid will be released.

In an interview to private television channel Antenna aired on Sunday night, Dallara suggested that an average interest rate of between 3.8 and 4 percent being sought by private firms in the debt swap was the biggest concession that could be made.

“This is certainly the maximum offer that is consistent with the voluntary debt exchange,” Dallara told Antenna. He said the onus was now on the International Monetary Fund and the European Union, Greece’s official foreign creditors, to make a concession. “It is largely in the hands of the official sector to choose the path, a voluntary debt exchange or a default.”

He said he was “hopeful” a deal would be reached but added, “We remain at a crossroads.”

Meanwhile speculation peaked about the circumstances surrounding Dallara’s departure from Athens early on Saturday. The IIF said that Dallara’s departure had been planned and insisted that there had been no breakdown in talks on the debt swap, dubbed PSI for private sector involvement.

But Antenna quoted sources as saying that the IIF chief had met with officials of the French and German finance ministries at the Paris Club on Saturday night for a “secret dinner” where the Greek debt swap issue was allegedly discussed.

There was also much speculation over the weekend about austerity measures that the IMF, the European Commission and the European Central Bank -- known as the troika -- would demand from Greece in exchange for more rescue aid.

Kathimerini understands that the troika has some key demands. These include the closure of 100 state entities, resulting in some 10,000 layoffs; the trimming of the 13th and 14th salaries paid to workers in the private sector; cuts to auxiliary pensions and the full liberalization of all closed professions.

ekathimerini.com , Sunday Jan 22, 2012 (22:42)  
Mayors resisting evaluation to face disciplinary action
Fyssas rally demonstrators face prosecutor after clashes
PM in energy talks ahead of crucial meeting with Merkel
Attiki Odos Lamia exit to close Sunday
Record sum of new debts to the state in August
Expired debts to the state rose to a record high in August, according to data released on Friday by the Finance Ministry. The sum of taxes and fines that remained unpaid after their deadline...
‘Greece can meet its needs on its own’
Greece will be able to meet its obligations without any new assistance from the International Monetary Fund, Finance Minister Gikas Hardouvelis said on Friday in London, leaving the door ope...
Inside Business
SOCCER
Triumph for PAOK, historic result for Asteras in Europa League
Greek teams produced a patchy record on the opening night of the Europa League group stage on Thursday, as PAOK thrashed Dynamo Minsk, Asteras Tripolis snatched a draw at Besiktas and Panath...
SOCCER
Financial crisis forces Greek second division postponement
Greece's second soccer division Football League announced on Wednesday the postponement of the start of the season due to financial difficulties being faced by most clubs. "The board of dire...
Inside Sports
COMMENTARY
High stakes after the Scottish vote
We will soon know whether the Scots voted for their country’s independence or whether they will remain citizens of the “United Kingdom of Great Britain and Northern Ireland.” What was alread...
EDITORIAL
Breathing room
Even Greece’s biggest critics find it hard to deny that the debt-hit country has achieved an unprecedented fiscal turnaround within a very short period of time. Sure, progress in promoting t...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Record sum of new debts to the state in August
2. ‘Greece can meet its needs on its own’
3. Mayors resisting evaluation to face disciplinary action
4. Fyssas rally demonstrators face prosecutor after clashes
5. PM in energy talks ahead of crucial meeting with Merkel
6. Attiki Odos Lamia exit to close Sunday
more news
Today
This Week
1. ‘Greece can meet its needs on its own’
2. Record sum of new debts to the state in August
3. Hardouvelis signals Greece may skip IMF loans to exit aid curbs
4. EIB signs deals with Greece for 815-mln investment in infrastructure projects
5. Dozens of arrests at march to mark anniversary of Fyssas murder
6. Syntagma metro station to close for Fyssas tribute concert
Today
This Week
1. Greece on standby
2. Greece at bottom of social justice scale among EU28
3. Central Athens traffic restrictions back in force on Monday
4. Lost in the fog
5. Democracy under Pressure | Live Streaming
6. SYRIZA spokesman suggests gov't sought to stop NERIT airing Tsipras speech live
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2014, H KAΘHMEPINH All Rights Reserved.