Greece's creditors agree on proposal to Athens

Greece’s creditors have reportedly reached an agreement on the proposal they will submit to the country’s authorities to unlock further aid for Athens and the stricken Mediterranean nation.

Officials representing European institutions and the International Monetary Fund completed the draft of an agreement to unlock bailout aid for Greece after European and IMF leaders met in Berlin on Monday, the Wall Street Journal cited people close to the matter as saying.

Eurozone governments and the IMF have agreed to press Greece for far-reaching economic overhauls, while the IMF has softened its insistence that Europe offer explicit commitments to relieve some of Greece’ debt burden.

Greece’s creditors have opted to write a draft agreement for Greek Prime Minister Alexis Tsipras to accept after months of negotiations with Greek officials made only slow progress, said the WSJ.

Many European officials are reluctant to present the proposal as an ultimatum. However, some European officials admit that Tsipras will now have little room to negotiate and will have to accept or reject the creditors’ terms.

As of 12:12 the yield on the benchmark 10-year Greek government bond was lower by 22 basis points to 11.40% and country’s main equity benchmark, the ASE, by another 0.60% to 820.41.