Greece, Germany leaders meet over funding

The Greek Prime Minister and German Chancellor have met to try and resolve the impasse over Greek debt.

German Chancellor Angela Merkel and Greek Prime Minister Alexis Tsipras meet in Berlin

German Chancellor Angela Merkel and Greek Prime Minister Alexis Tsipras meet in Berlin

(Transcript from World News Radio)

 

With time running ever shorter for an agreement to ease Greece's debt crisis, Greek Prime Minister Alexis Tsipras and Chancellor Angela Merkel of Germany have met to try and resolve the impasse.

 

Greece's European Union partners are demanding fresh reforms before offering more money to the financially beleaguered nation.

 

After the talks the two leaders have indicated there is yet no breakthrough but Mr Tsipras says he hopes for a new start to the relationship with Germany.

 

Amanda Cavill reports.

 

(Click on audio tab to listen to this item)

 

The mounting risk of a Greek default and revived fears about the future of Europe's common currency have many increasingly worried that time is running out.

 

Greek Prime Minister Alexis Tsipras and German Chancellor Angela Merkel Greek have made friendly noises after their meeting in Berlin but remain vague on how to prevent Greece from running out of money.

 

Mr Tsipras says it is better to talk with each other than about each other.

 

Chancellor Merkel says initial talks about a bailout for Greece showed "an appetite for cooperation", and that she wants the Greek economy to grow.

 

(Translated) "We want Greece to be economically strong, to have growth and reduce high unemployment, that especially the extremely high youth unemployment can be overcome. For that to happen structural reforms are necessary, a solid budget is necessary, a functioning administration is necessary - that is common understanding between the two of us."

 

Mr Tsipras' Syriza party won the general election in January with the campaign promise to end the spending cuts favoured by Germany in exchange for 260 billion dollars in international bailout money.

 

Many Greeks blame the deeply unpopular austerity program prescribed by the EU and World Bank for exacerbating Greek economic misfortune.

 

The country's unemployment rate is currently the highest in Europe - almost 26 per cent - while Germany's is the lowest at nearly 5 per cent.

 

Mr Tsipras says structural reforms are needed in Greece, although he has not detailed just what these could be.

 

"This meeting was very important for us to understand each other better. There is no other way but dialogue. We do not want to destroy the achievements of the last five years. We do need to implement big structural reforms which previous governments have not achieved, tax reforms, and a fight against corruption and tax dodging."

 

Chancellor Merkel says it's in everyone's best interests to find a solution and keep Greece in the Eurozone.

 

"All in all, for both of us it is important that we have a cooperation based on trust. We must also be able to address difficult issues. Issues we have different views on. But the spirit of our cooperation is there: both countries want to cooperate, both countries are part of the European Union, member states of NATO."

 

However Angela Merkel is not the sole decision-maker.

 

Mr Tsipras needs to convince euro finance ministers Greece is serious about reform before he will get his vital bailout cash.

 

The European Commission has urged Greece to take real action and make progress towards implementing reforms that could unblock more loans to Athens.

 

Commission spokesman Margaritis Schinas has stressed that political will, even if strong, is not enough at this stage.

 

"As you know, the Greek authorities have committed to presenting a list of specific reforms in the next few days and we are expecting it now. And, what I need to say also is that, at this stage, strong political will in itself does not suffice, it must translate into actions and progress."

 

Negotiations are likely to continue for some weeks, at least.

 

 

 

 


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4 min read

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By Amanda Cavill



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