Greece deal on the cards as pension cut plan agreed
Greece and its creditors have moved closer to a deal allowing the cash-strapped country to avoid a default and stick with the euro, officials said yesterday.
Just days after the country accepted a £5.7bn austerity plan, negotiators also agreed to cut pensions in return for new loans.
It brings Greek leader Alexis Tsipras and the European institutions closer together, enough for some to anticipate a breakthrough at a meeting of the eurozone's 19 finance ministers today.
"The meeting is of decisive character," German Chancellor Angela Merkel said after meeting Mr Tsipras and the French President Francois Hollande.
An official from one of the creditor institutions added that if you assessed both sides, "the difference now is very, very small".
Regardless of the deal, Greece could be in arrears to the IMF as soon as Tuesday, when a debt repayment of £1.1bn is due.
Should it default on what it owes, Greece could eventually have to leave the euro.