Merkel And Greek PM Seek To Repair Relations

Written By Unknown on Senin, 23 Maret 2015 | 23.33

The prime minister of debt-ridden Greece is to visit Germany for the first time since his election, as relations between the two countries deteriorate.

Alexis Tsipras will meet chancellor Angela Merkel in Berlin, with both aiming to cool tensions surrounding the Greek funding crisis.

Germany has been the most vocal creditor to insist the country sticks to its reform programme in return for continued bailout cash.

Its tough stance has infuriated the Greek side, elected on an anti-austerity ticket, which threatened to seek extended wartime reparations from Germany as diplomacy eroded earlier this month.

Greece, which needs all the money it can get to cover a national debt of more than €320bn, cited war crimes and a loan that occupied Greece was forced to make to the Nazis.

The German newspaper Bild has also reported that Greece's government is seeking more than €100m in compensation from German defence companies over alleged arms deal fraud.

In Germany, such demands have angered a public which has remained sceptical of the funds already contributed to the rescue of the Greek economy at the height of the eurozone's debt crisis.

As things stand, Greece's international creditors - the EU, European Central Bank (ECB) and the International Monetary Fund (IMF) - have urged Athens to come up soon with budget cuts and tax increases that would enable it to access more bailout money.

Greece fears running out of cash by the end of April unless it secures access to its bailout extension.

It is due to receive another €7.2bn (£5.1bn) if its delayed reform plans meet creditor approval.

The country's finance minister, Yanis Varoufakis, announced on Monday he had cancelled planned speaking events in London on Tuesday as he worked towards finalising the proposals, which are expected to be submitted next week.

Merkel has insisted Monday's meeting "is not the place for any lists with proposed reforms to be submitted".

She said those were a matter for the creditor bodies not Germany itself.

The two countries' foreign ministers met on Sunday night and agreed to work on strengthening general relations.

However, that aim could prove difficult given frustration with Greece, particularly over its demands for wartime compensation.

The parliamentary chief whip of Merkel's conservatives, Michael Grosse-Broemer, described them as "another distraction from Greece to divert attention from their own failings".


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