Talks between Greece and creditor institutions resume this morning after yesterday’s Eurogroup negotiations to avert a Greek debt default wrapped “without any formal agreement”.
Greek Prime Minister Alexis Tsipras negotiated into the early hours with its main lenders - the EU, the International Monetary Fund (IMF) and the European Central Bank (ECB) - to try to thrash out a cash-for-reform deal.
Tsipras had spent the whole afternoon with European Commission President Jean-Claude Juncker, IMF head Christine Lagarde, European Central Bank chief Mario Draghi and Dijsselbloem without striking a deal with Greece's creditors.
The Greek government offered in talks billions worth of "harsh" new budget savings. The proposed measures, worth 8 billion euros, included increases to company and consumer taxes, steps to eliminate early retirement options,privatizations and cuts in defense spending of 200 million euros.
The negotiators had been unable to produce a draft text due to wide differences over pension reform, taxation, labor law, public sector wages, the opening of closed professions, investment, and a Greek demand for a shift of its debt from the ECB to the eurozone's bailout fund.
"The Greek government remains firm on its positions," an official in Tsipras's administration said after the premier left the late-night talks. Negotiators would resume discussions at 6 a.m. and Tsipras was to meet creditors again at 9 a.m.
Eurozone finance ministers were also due to reconvene at 1 p.m. local time on Thursday to assess the situation further, before beginning a two-day EU summit in Brussels.
Ahead of Thursday's meeting, Eurogroup chief Jeroen Dijsselbloem said finance ministers were still "determined" to reach a deal.
Officials said the talks could drag on for another two days but without a deal by Saturday, endorsed by the Hellenic Parliament and the German Bundestag on Monday, Greece may not get the cash to meet a payment of 1.5 billion euros to the International Monetary Fund that falls due the same day.