Greece 'reaches agreement' with creditors on third bailout

(Baonghean.vn) - An official from the Greek Ministry of Finance said that the country has reached an agreement with international creditors on the third bailout package. Initial sources said that negotiations are still ongoing on some "minor issues".

Greece is due to pay a $3.7 billion debt to the ECB by August 20. Photo: HI.

The announcement was made on August 11 after marathon negotiations between Greece and its international creditors, which saw rifts between the International Monetary Fund (IMF) and the European Union (EU).

Reuters news agency quoted a Greek Finance Ministry official as saying: "An agreement has been reached. Some small details are currently being discussed."

The deal will see $94 billion released as Greece's parliament approves a series of reforms, including the creation of a controversial private fund that froze talks in July, according to reports on August 10.

The three-year rescue program is expected to pass through the Greek parliament in a bill divided into two articles, one on the loan agreement and the other on reforms needed to unlock the first loan disbursement.

According to a government source, the agreement stipulates that Greece is expected to have a budget surplus of 0.5% in 2016, then 1.75% in 2017 and 3.5% in 2018. In 2015 alone, Greece is expected to have a deficit of mainly 0.25% of annual output.

After the country's parliament approves the bill, the deal will be submitted to eurozone finance ministers. It is expected to be completed before Greece has to repay a $3.7 billion loan to the ECB due on August 20.

Minh Anh

(According to Reuters, AFP)