The US Advice to Greece

• 04.18.2015, 12:45
•  Europe,  America,  World

US Treasury Secretary Jack Lew has proposed Greece to be more specific while going in negotiations with its creditors. The Secretary meant to go through "every line" of its budget while drafting a reform list in order to satisfy its European partners. Lew believes that is the level of detail required, he added "This isn't resolved by speeches; it isn't resolved by rhetoric. It's resolved by the hard technical work,''- Voanews reports.

According to the Secretary the failure of agreement between Greece and Eurozone will lead to immediate hardship in Greece and increased uncertainties for Europe, which will have its negative impact on the global economy.

Last week, Greece made a dept repayment to IMF $495 million, which eased uncertainty towards Greece’s reimbursement. This payment was very crucial, because it helped the country to go closer to securing international bailout package and stay in the Eurozone. Financial minister Varoufakis told on Thursday that compromises should not be only from one sided.

The bailout has started since 2010 - Greece has received two loan packages ($270 billion) from EU and IMF in exchange for austerity measures and economic reforms. The Eurogroup agreed in the beginning of this year to extend bailout for Greece in exchange to present comprehensive reform plan. The advice of the US is that Greece needs to be more in detail while representing its budget and the new reform plan should be based on the needs of the country as it has to pay wages and salaries.