Alexis Tsipras, the Greek Prime Minister, insists he is close to a deal with the country's creditors that would result in the remainder of the bailout loan funds to be dispersed helping to ease the country's cash shortage.
Feisty Greek Finance Minister Yanis Varoufakis has reportedly been relegated to the sidelines in negotiations with EU and IMF creditors for a deal that would release more funds from the bailout loan.
Greece submitted a draft list of reforms to the Eurogroup and "institutions" -formerly known as the Troika- on Friday ahead of a crucial meeting next week that the Greek government hopes will result in the release of more aid.
The Greek Finance Minister Yanis Varoufakis sent a letter to Eurogroup President Jeroen Dijsselbloem just before the deadline of midnight Monday that outlines proposed reforms that Greece was willing to undertake to receive bailout funds.
Even the proposals presented earlier that Germany rejected were a sell out of most of the campaign promises made by Syriza including the demand for writing off some debt and for a new agreement rather than an extension of the existing bailout.
Talks today between German Finance Minister Wofgang Schaeuble and Greek Finance Minister Yanis Varoufakis appeared to achieve little or nothing with the German side simply repeating its hard line on Greek debt reduction
German chancellor Angela Merkel has ruled out any write off of Greek debt, claiming that banks and creditors have already made substantial cuts. At the same time she insisted that she wants Greece to stay in the Eurozone.
Prime Minister Antonis Samaras faces continuing problems negotiating with the Troika (European Commission, International Monetary Fund and European Central Bank) as he attempts to obtain the next portion, approximately $1.5 billion. of a bailout package.
Greek unions held a 24-hour general strike on Wednesday (Nov. 6) in opposition to any additional austerity cuts. The strikes are taking place as the Greek government holds talks with representatives of creditors, the troika.
Shortly after midnight the Greek Parliament voted in favour of the latest austerity measures that include drastic cuts and new taxes to the tune of €13.5 billion, and comprehensive changes to the labour laws.
Socialism is fine until you run out of other people’s money to spend,” or so goes the metaphor.
Francois Hollande, the newly-elected President of France, will have an opportunity to prove such right-of-center prophesying false.
As more MPs indicate their oppostion to the latest austerity measures, Greek Prime Minister Lucas Papademos warns that, should the package not be approved on Sunday, the nation would be sent down "an unknown and dangerous path".