BRUSSELS (MNI) – European leaders will meet May 10 in Brussels to
discuss the latest developments in Greece and the activation of an aid
package if it is needed, a spokesperson for the Spanish Presidency of
the European Union said on Wednesday.
“The issue will be Greece,” a spokesperson said. “To discuss latest
developments on Greece and the activation of the mechanism, if there is
a need.”
Formal invitations to the meeting will be sent by Herman Van
Rompuy, the President of the European Council, the spokesperson said.
Eurozone leaders and the International Monetary Fund have offered
debt-ridden Greece a loan lifeline worth up to E45 billion this year, to
help the southern European country manage its budget deficit, which
currently stands more than four times over the EU’s stipulated 3% limit.
Greece has formally requested that the aid be disbursed, but the
European Commission and the ECB must first determine whether it is
necessary. After that, each of the Eurozone states must give their stamp
of approval. The IMF’s portion of the package is subject to an entirely
different process, with approval of the Fund’s board required.
Few details of the IMF package have yet emerged. It is believed the
IMF would contribute an estimated E10 billion to E15 billion. But the
Financial Times reported Tuesday that the IMF is now in talks to provide
an additional E10 billion, which would bring its total contribution up
as high as E25 billion.
–Brussels: 0032 487 (0) 32 803 665, echarlton@marketnews.com
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