The WSJ reported on Monday evening (Athens time) that Greece’s institutional creditors are eyeing the possibility of extending a bailout program until the end of March 2016.
The “fresh cash” would come from 10.9 billion euros set aside under the previous bailout for recapitalizing weak Greek banks, sources said.
Nevertheless, WSJ reporter Gabriele Steinhauser cited three sources close to talks that claimed conditions linked to the extended credit line and post-bailout considerations risked sinking the plan.
“What we offered would mean that Greece is fully financed until March 2016,” said one source.
The statement was linked to a meeting last week between European Commission President Jean-Claude Juncker, Greek Prime Minister Alexis Tsipras and Eurogroup chief Jeroen Dijsselbloem.
It was there that Juncker and the Dutch FinMin proposed the loan extension for continued deep reforms by the Athens government, including tax hikes and pension slashes.
Tsipras reportedly declined those conditions at the time.