Greek bailout talks make major breakthrough on reforms
BRUSSELS — Greece and its international creditors took a big step Friday toward an agreement that will ensure the country gets the money it needs to avoid a potential bankruptcy this summer but which could spell more pain for austerity-weary Greeks.
For months, the bailout discussions have stalled amid disagreements over pension, tax and labour market reforms that Greece should take in order to get the rescue money due from its most recent international rescue. Without the money, Greece would once again be facing the prospect of having to exit the eurozone — so-called Grexit.
“The big blocks have now been sorted out and that should allow us to speed up and go for the final stretch,” Jeroen Dijsselbloem told reporters following a meeting of the eurozone’s 19 finance ministers in the Maltese capital of Valletta.
Once a broad agreement is reached in coming weeks, Dijsselbloem said the eurozone will come back to issues related to Greece’s stringent medium-term budget targets and the country’s debts — key conditions of the Greek government.