Greek Crisis: Debt Deal ‘Close’ as Clock Ticks Down
Jessica Menton | Feb 7, 2012 3:44pm EST | 1min:45sec
Greek officials and its international creditors appeared close Tuesday to finalizing an agreement on austerity measures for the debt-ridden nation that will be followed by much-needed bailout funding. The nation must implement a round of austerity measures to receive a promised 130 billion euro loan, which it needs to meet a 14.4 billion Euro bond redemption next month.
Greece has been working with officials from the European Commission, International Monetary Fund and the European Central Bank towards a deal. The talks, led by Prime Minister Lucas Papademos and political leaders, face the wrath of workers protesting the proposed cutbacks and the ECB pushing for strict austerity measures before giving more bailout money to Athens.
Despite disruptions, tourists said they supported the workers' strike.
The duality of meeting the ECB’s reform demands while keeping Greek citizens happy ahead of an election later in the year has made markets skittish ahead of any deal. Stocks in Europe were mostly lower, and gold also fell early in the session, though later it began rising.
