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EU says deal with Greece possible, but still far away

Published 28/05/2015, 19:07
© Reuters. Moscovici addresses a news conference in Brussels

DRESDEN, Germany (Reuters) - A deal between Greece and its international creditors is possible, but it is still far away and work needs to continue day and night to reach it as Greece is running out of time and money, the EU's Economic Commissioner Pierre Moscovici said.

"Talks are progressing, they have progressed more in the last 3 weeks than in the last 3 months... also on substance, but we are not there yet and we have little time to find the necessary agreement," Moscovici told reporters.

Greece has to make a 300 million euro (£214.2 million) payment to the International Monetary Fund on June 5, but has said it would not have enough money without fresh loans from the euro zone.

Euro zone governments, however, want Greece to implement a pension reform, raise the Value Added Tax, liberalise the labour market, sell more state assets, reform the administration, create an independent fiscal authority and deal with non-performing loans before they lend Athens more.

Greece said it was hoping for a deal by Sunday, but Moscovici was more cautious.

© Reuters. Moscovici addresses a news conference in Brussels

"We are not (even) three quarters of the way there, we need to work day and night," Moscovici said. "We have little time, but a deal is certainly possible," he said.

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