Tsipras meets Putin but no loan talk

Greek Prime Minister Alexis Tsipras has met with Russian President Vladimir Putin in St Petersburg but there was no talk of Russian loans to help Greece.

Greek Prime Minister Alexis Tsipras has met with Russian President Vladimir Putin in St Petersburg but the question of Russian financial aid for Greece was not discussed, Putin's spokesman says.

Greece is struggling to reach a deal with its creditors for new loans that it needs to avoid defaulting on debt payments at the end of the month.

Without the bailout, Greece could be headed for bankruptcy or an exit from the 19-nation eurozone.

Tsipras' visit gave rise to speculation that the Greeks may be seeking Russian loans - and ahead of the talks, Putin's spokesman said Russia would consider a loan if the Greeks asked for one.

"We would do this because they are our partners and this is a normal practice between countries who are partners," spokesman Dmitry Peskov told The Associated Press.

But when Tsipras met with Putin on Friday evening, the possibility of a loan wasn't discussed, Peskov told journalists. Instead, they spoke about "the necessity of developing investment cooperation."

The talks were held after both leaders addressed investors and Russian government officials at Russia's biggest annual economic forum.

Deputy Prime Minister Arkady Dvorkovich also had said Russia would consider a loan to Greece.

"The most important things for us are investment projects and trade with Greece. If financial support is needed, we will consider this question," he said in an interview on RT television.

Russia and Greece signed a deal on Friday to build an extension of a prospective gas pipeline that would carry Russian gas to Europe through Turkey.

Russia promised Greece hundreds of millions of dollars in transit payments yearly if it agreed to build the pipeline. Construction of the pipeline is expected to start next year and be completed in 2019.


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Source: AAP



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