Greece warned over debt by Euro ministers

(Vatican Radio) A tense meeting of Eurogroup finance ministers in Latvia has ended with a warning to Greece to speed up its economic reforms if it wants financial aid to continue. Officials have raised doubts whether Greece will meet its financial obligations, adding to concerns that the nation faces a possible default and even an exit from the euro.

Listen to this report by Stefan Bos

At a meeting in the Latvian capital of Riga, Greece's finance minister faced angry counterparts of the 19-country eurozone. Several of them expressed frustation over what they view as slow progress and endless talking with Greece over its debt repayments. Some said they were "tired" others said they were "annoyed" with the way the talks are going. 

Greece has relied on 240 billion euros ($260 billion) in bailout loans since May 2010 after it amid concerns it was insolvent. The country wasn't able to raise enough case on the international bond markets.

But in return for cash, successive governments have had to make spending cuts and economic reforms. Analysts say that while measures focused on improving public finances, they also hurt the economy and caused unemployment to skyrocket.

DEBT REPAYMENTS?

That has complicated debt repayments. Greece must repay its creditors already nearly 1 billion euros ($1.1 billion) next month, but it's struggling to raise the money.

However after a strained meeting, a visibly irritated Eurogroup chief Jeroen Dijsselboem warned that in his words "big, big problems" need to be solved before any Greece debt deal can be agreed. He urged Greece not to walk away from agreements and come up with a concrete plan.    

"A comprehensive and detailed list of reforms is needed... and a comprehensive deal is necessary before any disbursement can take place," he said. And Dijsselbloem warned: "We are all aware that time is running out."

Greece's outspoken Finance Minister Yanis Varoufakis appeared upset. "This government does not want to do what previous governments did. Which is to sign on pledges...that were from a macroeconomic prospective impossible to achieve. This is why these negotiations are dragging," he added.   

DEADLINE LOOMING 

And Varoufakis angrily rejected allegations that Greece had no plan and that he was acting in the words of  one participant as an “amateur”.

The next possible date for a deal is May 11, when eurozone finance ministers will meet next and just one day before Greece owes a big payment to the International Monetary Fund. 

Till that time ministers of Greece and creditors reluctantly pose for family photo's.

Yet hosting the euro gathering gathering was a big deal for Latvia, which joined the eurozone on January 1 last year.