BRUSSELS (MNI) – Greece risks losing out on a vital E8 billion
financial lifeline from the EU and IMF if Greek politicians refuse to
pledge in writing their commitment to Europe’s terms, the European
Commission warned on Monday.
The warning came just minutes before Greece’s new Prime Minister,
Lucas Papademos, was due to meet the President of the Commission, Jose
Manuel Barroso, in Brussels.
Eurozone governments and the Commission have demanded that all the
leading political parties in Greece commit to the EU’s bailout programme
in writing. But Antonis Samaras, the leader of Greece’s conservative New
Democracy party, has balked at the unusual demand.
“The request for written commitment remains,” a spokesman for the
Commission said, confirming that the withheld tranche of aid would not
be released without it.
With Athens expected to run out of cash to pay its government
salary and pension demands in full by mid-December, the stakes are high.
Papademos will discuss the issue with Barroso at their first
official meeting this afternoon. A press conference is expected around
1330 GMT/0830 EDT.
Brussels bureau: +32495228374; pkoh@marketnews.com
[TOPICS: M$I$$$,M$X$$$,M$$CR$,M$Y$$$,MGX$$$]
