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Greece's Varoufakis: 'No debt talks with EU-IMF troika' | Greece's Varoufakis: 'No debt talks with EU-IMF troika' |
(35 minutes later) | |
Greece's new left-wing finance minister says his government will not negotiate over the Greek bailout conditions with the "troika" team from the EU and IMF. | Greece's new left-wing finance minister says his government will not negotiate over the Greek bailout conditions with the "troika" team from the EU and IMF. |
Yanis Varoufakis said he was rather seeking direct talks with eurozone leaders, to try to cancel more than half the money Greece owes. | Yanis Varoufakis said he was rather seeking direct talks with eurozone leaders, to try to cancel more than half the money Greece owes. |
He was speaking after meeting Jeroen Dijsselbloem, head of the Eurogroup - the eurozone finance ministers. | He was speaking after meeting Jeroen Dijsselbloem, head of the Eurogroup - the eurozone finance ministers. |
Mr Dijsselbloem said Greece should stick to its reform commitments. | Mr Dijsselbloem said Greece should stick to its reform commitments. |
He said Greece and the Eurogroup had a "mutual interest in the further recovery of the Greek economy inside the eurozone" and warned against Athens acting unilaterally in its efforts to renegotiate its bailout. | He said Greece and the Eurogroup had a "mutual interest in the further recovery of the Greek economy inside the eurozone" and warned against Athens acting unilaterally in its efforts to renegotiate its bailout. |
Greece has endured tough budget cuts in return for its €240bn (£179bn; $270bn) bailout, agreed in 2010 with the "troika" - the European Commission, International Monetary Fund (IMF) and European Central Bank (ECB). | |
The BBC's Mark Lowen in Athens says there was little warmth between the two men at the news conference, with Mr Dijsselbloem making a brusque exit. | The BBC's Mark Lowen in Athens says there was little warmth between the two men at the news conference, with Mr Dijsselbloem making a brusque exit. |
Breaking with tradition, Mr Varoufakis wore an open-neck shirt - hanging loose at his belt. Mr Dijsselbloem was dressed conventionally. | Breaking with tradition, Mr Varoufakis wore an open-neck shirt - hanging loose at his belt. Mr Dijsselbloem was dressed conventionally. |
On the troika, Mr Varoufakis said "we have no intention of co-operating with a three-member committee whose goal is to implement a programme whose logic we consider anti-European". | |
New agreement? | New agreement? |
The current programme of loans ends on 28 February. There are still €1.8bn of funds that could be disbursed to Greece if it meets the conditions imposed by the troika. | The current programme of loans ends on 28 February. There are still €1.8bn of funds that could be disbursed to Greece if it meets the conditions imposed by the troika. |
Mr Dijsselbloem, who is also Dutch Finance Minister, said the two sides would decide what would happen next before the programme ends. | Mr Dijsselbloem, who is also Dutch Finance Minister, said the two sides would decide what would happen next before the programme ends. |
He also met Greek Prime Minister Alexis Tsipras in Athens, who led the Syriza radical left-wing coalition to victory in elections on Sunday. | He also met Greek Prime Minister Alexis Tsipras in Athens, who led the Syriza radical left-wing coalition to victory in elections on Sunday. |
Mr Varoufakis, meanwhile, said Greece was not asking for an extension of the existing bailout, but seeking a "new agreement that will emerge following talks between all Europeans". | Mr Varoufakis, meanwhile, said Greece was not asking for an extension of the existing bailout, but seeking a "new agreement that will emerge following talks between all Europeans". |
He said he would he seek "maximum co-operation" with Greece's international creditors, but that he would not work through the "troika", which he called "a committee built on rotten foundations". | He said he would he seek "maximum co-operation" with Greece's international creditors, but that he would not work through the "troika", which he called "a committee built on rotten foundations". |
Mr Dijsselbloem rejected Mr Tsipras's idea of convening a European conference on debt. "This conference already exists and it's called the Eurogroup," he told the news conference. | |
Tensions over debt | Tensions over debt |
Syriza won on an anti-austerity platform, promising to have half of Greece's debt written off, and to roll back on deep cuts to jobs, pay and pensions. | Syriza won on an anti-austerity platform, promising to have half of Greece's debt written off, and to roll back on deep cuts to jobs, pay and pensions. |
The country's economy has shrunk drastically since the 2008 global financial crisis, and high unemployment has thrown many Greeks into poverty. | The country's economy has shrunk drastically since the 2008 global financial crisis, and high unemployment has thrown many Greeks into poverty. |
The new government has already pressed ahead with cancelling major privatisation projects, including of the two main ports of Piraeus and Thessaloniki. | The new government has already pressed ahead with cancelling major privatisation projects, including of the two main ports of Piraeus and Thessaloniki. |
But EU officials have warned there is little appetite among eurozone countries for cutting the debt. | But EU officials have warned there is little appetite among eurozone countries for cutting the debt. |
Greece has about €20bn (£15bn; $22.5bn) to repay this year, according to the Greek finance ministry. | Greece has about €20bn (£15bn; $22.5bn) to repay this year, according to the Greek finance ministry. |
Economists estimate that Greece needs to raise about €4.3bn in the first quarter. | Economists estimate that Greece needs to raise about €4.3bn in the first quarter. |
Raoul Ruparel, head of economic research at Open Europe think-tank, told the BBC that maturing bonds worth about €6.5bn would have to be paid off to the ECB in July and August. | |
Less worrying for the new government are the €4bn in T-bills - short-term debt that can usually be rolled over. About €9bn in loans also has to be repaid - spread quite evenly through the year. | Less worrying for the new government are the €4bn in T-bills - short-term debt that can usually be rolled over. About €9bn in loans also has to be repaid - spread quite evenly through the year. |
Greek economy in numbers | Greek economy in numbers |