Germany eyes 'bundled' loan payment to Greece - source

BERLIN Tue Nov 13, 2012 7:57pm IST

Related Topics

BERLIN (Reuters) - European countries deliberating on the payment of delayed loans to Greece could decide to bundle several tranches together in a single transfer of roughly 44 billion euros, a German government source said.

Under the terms of its second bailout programme, Greece was due to receive 31.2 billion euros by the end of June, plus an additional 5 billion by the end of September and 7.2 billion euros by the end of December.

The sources said these three payments could be combined to avoid stoking uncertainty with further deliberations on tranches in the coming weeks and months.

A German finance ministry spokeswoman said no final decision had yet been made on further loan payments to Greece under its second international bailout programme.

Earlier, the euro rose to a session high and German Bund futures fell on a report in the Bild newspaper that the tranches could be bundled.

Loans have been held up since Athens went off track with promised reforms and budget cuts, partly as a result of holding two elections in the space of three months earlier this year.

Earlier on Tuesday, Greece's international lenders clashed over how to help the stricken country bring its debts down to a sustainable level.

German Chancellor Angela Merkel, anxious to avoid losses for her taxpayers ahead of Germany's federal elections next September, is resisting IMF calls for euro zone governments to write off some of the Greek debt they hold.

However, French Finance Minister Pierre Moscovici said bailout money should flow to Athens by the end of November. (Reporting by Gernot Heller; Writing by Gareth Jones. Editing by Jeremy Gaunt.)

FILED UNDER:

Reuters Showcase

Legal Complaints

Legal Complaints

Government's payday from telecoms auction could be delayed  Full Article 

Running State Banks

Running State Banks

India signals private-sector bosses could run state-owned banks  Full Article 

India Forecast Raised

India Forecast Raised

S&P raises India's GDP forecasts, says it's a bright spot in Asia  Full Article 

StanChart CEO

StanChart CEO

StanChart picks ex-JPMorgan exec Winters as CEO to replace Sands  Full Article 

Wockhardt Plant

Wockhardt Plant

Wockhardt says FDA raises new concerns about Waluj plant  Full Article 

Banking Sector

Banking Sector

State-owned banks' capital needs may be higher - RBI deputy  Full Article 

Shares Sale

Shares Sale

Bharti Airtel says raised $310 mln through share sale in tower unit  Full Article 

Inflation Target

Inflation Target

India should meet RBI inflation target by Jan 2016 - RBI deputy  Full Article 

International Exchange

International Exchange

NSE plans to set up international exchange in Gujarat  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage