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04 June 2015

Open Europe: The end game approaches in Greece


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There have been countless rumours over the past days that a deal is close in negotiations between Greece and the Eurozone. But as we enter June, the issue will have to be settled one way or another.


How much longer does Greece have?

As we have pointed out before, Greece faces a very arduous payment schedule in 2015 (see chart below). As demonstrated by the use of its IMF reserve fund to pay the IMF last time out on 12 May, it is clear Greece is struggling to make both payments to its creditors and pension/wage payments to its own people. In June, Greece faces €1.6bn in payments to the IMF. Even if it does, as some reports suggest, lump all of these payments together and pay them at the end of June (when the final payment is due), it is unlikely that Greece will be able to make any or all of these payments without an agreement.+

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