In an article entitled “Final showdown approaches for EU and Greece,” Peter Spiegel, the correspondent for the Financial Times in Brussels, presents three possible scenarios with regard to the negotiations between Greece and its creditors, in view of the critical Eurogroup meeting on Monday.
According to the British newspaper, technical teams from Athens and the Troika of the country’s creditors (the European Commission, the European Central Bank and the International Monetary Fund) will spend the weekend negotiating “over whether to extend, or end, Greece’s 172-billion-euro bailout.”
The three possible scenarios with regard to the outcome of these deliberations are the following:
An extension
Spiegel characterizes this as the “preferred option of Brussels and Berlin.”
However, it is not very likely that the Greek side will accept this scenario.
To explain why, the FT correspondent cites a senior Greek official who reportedly said that “you cannot ask a newly elected government that has been elected with a mandate for a new program to implement the previous [bailout] as a precondition for discussion.”
A bridge
This is the Greek Finance Minister Yanis Varoufakis’ proposal. However, the probability that it will be accepted by Greece’s European partners is almost zero, argues Spiegel.
Expiry and new talks
“Some troika members argue that as long as talks are under way for a new bailout, investors will be willing to give the euro zone more time to get its Greek House in order if the current program ends in two weeks,” says the article.
According to the FT, this is the most likely scenario, and the best solution available, if the Greek government “sticks to its guns” and EU officials continue to reject the Bridge solution.
See all the latest news from Greece and the world at Greekreporter.com. Contact our newsroom to report an update or send your story, photos and videos. Follow GR on Google News and subscribe here to our daily email!
