Published On: Sun, Apr 26th, 2015

Deputy PM Of Greece Says Lenders Must Strike Deal By Early May

Thee Greek national flag.

Greece has been urged it must sign a complete reform plan before fresh aid will be given.

Greece’s central government and its lenders must reach a deal for reforms by early May in order to satisfy the country’s need for capital, said Yannis Dragasakis, the Deputy of Prime Minister of Greece at an interview for a Greek newspaper on Saturday. With Greece being zoned out of international markets and stuck in talks with the European Union and the International Monetary Fund creditors because of its suggested reforms for cash, the risk of running out of cash is measured in weeks. The Euro Zone minister of finance has given an ultimatum to Greek’s government on Friday saying that the country will not get fresh financial aid unless it agrees to sign a complete reform plan.

Athens is obligated to pay the International Monetary Fund almost 1 billion Euros by the end of May, and officials have stated that they plan to honor their part and that they need lenders to offer them something in return. Dragasakis said in an interview for Avgi newspaper that there is an imperative need for the deal to be concluded by the end of May if not in April. He also added that their main request is that the current liquidity problem gets recognized as a common responsibility and that it should be addressed in cooperation. He stated that if not, the country will not be able to honor its external obligations over the survival of its people. The Greek lawmakers have approved a decree on Friday which forces the state entities such as local governments to lend money to Athens in spite of protests by labor unions and municipalities. Tensions between the central government and lenders have sparked speculations about referendums and snap elections if the government of Greece is unable to reach a deal with the lenders. However Athens has ruled out such speculations for now.

In a poll which asked the people of Greece what is the best thing to do if it comes to an impasse, 44% of people said that the government should try solving the problem without looking for a new mandate. Almost 33% said that they are for the referendum and 19% said that they would look for a snap election. Another poll showed that 63% of people have concerns about Greek defaulting.

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