Time and cash running out for Greek negotiating team

Quartet ups demands for immediate reforms on many issues

The hopes of the the Greek negotiating team that a final agreement would be reached with the Quartet as swiftly as possible and lead to the disbursement of the large 86-bln-Euro bailout loan, are fading away, especially after the postponement of the Quartet’s meeting with the Hellenic Republic Asset Development Fund (TAIPED) for Monday.

According to reports the representatives of the four institutions-ECB, IMF, EC and ESM- have orders to  pace their talks and not rush into a deal, placing more pressure on the Greek side which means a new ‘bridge-loan’ could be inevitable.

The amount Greece needs to cover its immediate liabilities (until September 21) is 5 bin Euros, while at least a further 15 bln Euros is necessary for payment to private companies in Greece and tax returns, the recapitalisation of banks and another 7 bln received on July 20 by the EU as the first ‘bridge-loan’.

Apart from the Greek government’s need for immediate cash, the most worrying aspect is that the two sides have a lot of ground to cover on thorny matters like early pensions, ‘non-serviceable loans’ to banks, accelerating privatisation procedures, and new demands on the extraordinary levy and issues in the employment market.