ATHENS: Greece denied a report by the Financial Times that it was preparing for a debt default if it did not reach a deal with its creditors by the end of the month and said the negotiations were proceeding “swiftly” towards a solution. Athens has been kept afloat by bailouts totaling €240 billion from the European Union and the International Monetary Fund since 2010, but has not received any loans since last August.
It is fast running out of cash and must strike a deal on reforms with its lenders before further money is disbursed. Citing people familiar with the matter, the Financial Times reported that Athens may withhold payments to the tune of €2.5 billion ($2.64 billion) to the IMF due in May and June, if no agreement is struck.
“Greece is not preparing for any debt default and the same goes for its lenders. Negotiations are proceeding swiftly towards a mutually beneficial solution,” Prime Minister Alexis Tsipras’ office said in a statement. “What appears to rankle is that the Greek government is determined to put an end to austerity policies.”
