Greek Finance Minister requests to extend repayment deadline

Greek official seeks to push back debt repayments as he believes it is not feasible

Photo by: Reuters
Photo by: Reuters

Updated Jul 28, 2015

Greek Finance Minister Yanis Varoufakis, said on Thursday that he will reject any deal with Greece’s lenders as the country is currently suffering from a “strictness trap” in terms of budget measures, which is making it more difficult to manage its current debts.

Negotiations talks with bailout creditors continue to evolve at a slow pace as lenders demand a plan of reforms from the cash strapped country. 

Greece is expected to default within weeks and possibly exit the eurozone if they are unable to meet the demands of their international lenders in order to unlock remaining bailout funds, thus bailout talks are proceeding at a slow pace as international lenders demand a plan of reforms.  

Making reference to the bonds, the European Central Bank bought under the Securities Market Program in 2010-2011, Varoufakis said "over July-August the finance ministry will have to borrow 6.7 billion euros from our partners in one way or the other to repay bonds from the SMP programme." 

"About 27 billion euros of those bonds are still left, which should be repaid in the next months or years. These bonds should be pushed back to the distant future. This is clear," he said. 

Minister Varoufakis, continues to participate in negotiation talks with the European Union and International Monetary Fund lenders, although he was sidelined by the Leftist government earlier this year.  

TRTWorld and agencies