Greece expects crucial bailout deal in place by middle of month

Greece expects to conclude a bailout deal with international lenders by Aug. 18, with the drafting of the accord starting on Wednesday, government spokeswoman Olga Gerovasili said. “The first phase of negotiations ends today and the second phase starts, which really contains the details of drafting (the deal),” Gerovasili told Skai TV station. The drafting of the accord would start on Wednesday, she said. In an interview with Ethnos newspaper on Monday, European Economic Affairs Commissioner Pierre Moscovici described an August deal as possible, but said it would be “ambitious”, suggesting that it would take hard work to achieve it.

If the terms of the (EU) summit are met, I think that we will have a deal by the 18th of this month.

Greece government spokeswoman Olga Gerovasili

The bailout, worth up to €86 billion (£60.5 billion), needs to be settled by August 20 if Greece is to pay off debt of €3.5 billion to the European Central Bank that matures that day. When creditors agreed in July to negotiate a deal aimed at keeping it afloat and in the euro zone, Greece committed to implementing major reforms, such as scrapping early retirement, by the end of October. Lenders want, for example, an increase in the retirement age to 67 from the nominal 62 that falls significantly depending on the number of years worked and family status.

We are determined to pursue a deal, and be tough in negotiations until the last minute.

An unnamed Greek official

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