Greek Finance Minister Euclid Tsakalotos and Greek Economy, Infrastructure, Shipping and Tourism Minister George Stathakis met with  the representatives of the quartet of Greece’s creditors (European Commission, European Central Bank, International Monetary Fund, European Stability Mechanism) afresh on Friday in a last-ditch effort to wrap up all outstanding issues by Saturday.

The goal is to reach an agreement so that the Eurogroup Working Group (EWG) can convene on Sunday in the hope that a 2-bln-euro bailout tranche benchmarked for Greece can be disbursed. Greece also hopes for the transfer of 10 billion euros to the Hellenic Financial Stability Fund (HFSF) for the recapitalization of Greek banks.

Thorny issues currently blocking agreement with the institutions on a second set of prior actions were discussed at a Government Economic Policy Council chaired by Greek Prime Minister Alexis Tsipras. There was cautious optimism that a solution will be found by Saturday evening to enable the EWG to meet on Sunday.

The main issue that is yet to be resolved is that of non-performing loans (NPLs) and protection of mortgaged homes from foreclosures.

On other issues, the two sides are closer but even these remain obstacles. The two sides need to find an agreement on the 100-installment state debt settlement scheme; equivalent measures for the 23% VAT rate on private education that will reportedly be replaced with a gambling duty; a gradual reduction in the cost of generic medication; and changes in the rules governing the HFSF and the governance of Greek banks.