ECONOMY

PSI talks make a breakthrough

There were signs on Thursday that the government and banks will reach an agreement on the private sector involvement plan (PSI+) by next month.

Kathimerini understands that the eurozone has accepted that the new bonds to replace the old ones after the haircut will have the same legal status as the 30-billion-euro loan to Greece for the completion of the plan.

Negotiations stalled this week without any agreement on the key points of the implementation of the 50 percent haircut agreed at the eurozone summit in late October, and the chair of the private sector creditors? steering committee, Charles Dallara, who is also the head of the Institute of International Finance, predicted that a deal would probably not be reached before February.

Now a source from the steering committee has told Bloomberg that the banks are seeking to reach an agreement on the details of the debt swap in early January.

Furthermore, the International Monetary Fund insists on having at least the framework of an agreement by next month so as to draft up the new funding program for Greece.