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New Greek Bailout Deal Looms

The European Union flag stationed outside the Athens Stock Exchange in Athens, Greece.
The European Union flag stationed outside the Athens Stock Exchange in Athens, Greece.

Negotiations between Greece and its creditors dragged on overnight as the parties work to reach an agreement that would save the bankrupt country from another loan default. The deal would funnel up to 86 billion euros ($94 billion) to Athens, allowing the Greek government to make a 3.4 billion euro payment to the European Central Bank by the Aug. 20 deadline.

And while Greek officials are optimistic that the deal is in its "final stretch," European Union heavyweight Germany could stand in the way.

Acting according to the motto "quality before speed," Germany is insistent on Greece's acceptance of conditions for reform before any money changes hands. Greece spent much of the last year fighting austerity measures, but ultimately capitulated under the threat of being cut from the Eurozone. The bailout would be the third since 2010, with the first two deals totaling 240 billion euros.

Talks between Greece's finance and economy ministers, Euclid Tsakalotos and Giorgos Stathakis, and between the ECB, the International Monetary Fund and the European Stability Mechanism are ongoing.

According to the Athens News Agency, negotiators hope to reach an accord by Tuesday at the latest.

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