Greece and its European creditors failed to clinch a deal that would have seen the cash-strapped country get its next batch of bailout loans and secure an agreement on the sort of debt relief measures it can expect to get when its current bailout program ends next year, the Associated Press reported today. However, a broad settlement involving both the next payout and the outlines of a debt relief deal is close, and could be reached in three weeks when finance ministers from the 19 countries from the single currency bloc meet next in Luxembourg. While hailing the recent progress the Greek authorities have made to implement the reforms and cuts demanded from creditors, certain issues still needed to be addressed. But time is running out for Greece as without the rescue loans it would struggle to meet a big repayment hump in July of some 7 billion euros ($7.8 billion). One of the major stumbling blocks has centered on a divergence of opinion between the eurozone and the IMF, which is not involved financially in Greece’s current three-year bailout program agreed in the summer of 2015 and could be worth up to 86 billion euros in total. Getting the IMF involved is important as Germany and The Netherlands have indicated that they will refuse to lend more money to Greece without the Fund’s participation.
