Eurozone expresses displeasure

The eurozone is asking Athens for a public commitment that it does not intend to compensate or exempt people holding Greek bonds who participated in the private sector involvement (PSI) plan, even though the Cabinet has already unanimously decided to do so.

However, the ambiguous decisions made by government officials have left the issue of some form of compensation open, while leading to calls from non-Greek holders of Greek bonds for similar treatment.

Meanwhile, Finance Minister Filippos Sachinidis tabled on Wednesday in Parliament the bill that provides that the Greek state will first pay off its debt to its official creditors and then fulfill its other obligations, i.e. salaries, pensions etc. The bill also determines how the escrow account created for the repayment of the national debt will operate.

Sources suggest, however, that the country?s creditors are not satisfied with the bill as the clause on the account does not state that when Greece registers primary surpluses its additional revenues will go toward repaying its debt.

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