Every time a payment to official creditors comes close, Greece rings default alarm. However this time around size of tranche payable by Greece is larger and Greek officials are more determined than before.

  • Greece repaid all the IMF dues in April successfully, however Greece is due to pay IMF € 203 million on May 1st, € 770 million on May 12. Another € 1.6 billion is due in June.
  • Greece has another €7 billion due towards ECB in July/August.

On April 24th Euro group finance ministers are set to reconvene in Riga, to discuss list of reforms to be adapted by new government in Greece.

  • One of the top Greek officials familiar with the matter said that default on IMF payments will be the only options left, should the finance ministers fail to reach an agreement.
  • Greek finance minister Yanis Varoufakis on a separate event mentioned that government views domestic liabilities as top most priority ahead of loan repayment to foreign creditors.

Greece is due to pay € 2.4 billion towards salaries and pension liabilities by May.

Market so far remained agnostic focusing on yield spread, which is leading to weaker Euro. However situation would turn far more serious and will add to market volatility, should the talks fail on 24th.

Euro is currently trading at 1.054, down 0.3% for the day.

The material has been provided by InstaForex Company – www.instaforex.com