Greek withdrawal from the eurozone

By Paul Taylor

In the tug-of-war over Greece's debt crisis, geopolitics and domestic politics are pulling in opposite directions.

Greece's strategic location and ties to Russia give its new leftist-led government some leverage in its struggle to make European Union creditors ease up on austerity and give Athens more time to repay its mountain of debt, if it ever does.

By Mike Peacock

The coming week will go a long way to dictating whether Greece remains in the euro zone.

A meeting of euro zone finance ministers on Monday is tasked with producing a deal that will keep Greece solvent and which is acceptable to both sides.

Greece's finance minister said on Feb. 15 he was confident a deal with the EU over the country's loathed bailout could be found while warning the February 28 deadline may be too tight.
      
"Our strong stance, based on logic, will lead to an agreement, even at five minutes past the hour," Yanis Varoufakis said in an interview with the Sunday Kathimerini newspaper.

By Alexander Görlach

 Finance Minister tells Kathimerini that even at last minute, two sides will agree

Greek Finance Minister Yanis Varoufakis has told Kathimerini that a deal between Greece and the eurozone will be found, even at the last minute, as he prepares for Monday?s Eurogroup.

Talks between Greek officials and representatives of Greece?s lenders began in Brussels on Friday ahead of Monday?s Eurogroup, with the option of a new program, rather than an extension to the current one, being put on the table.

According to government sources Mr. Lew stressed over the phone that the “US supports the success of Greece’s talks with its European partners for an agreed exit from crisis program and the importance that this development has to financial stability in Europe “.

Support among Germans for Greece staying in the eurozone has grown over the past three years despite the new government in Athens rejecting its international bailout deal, a poll for German television ARD showed on Friday.

By Jeremy Gaunt

'Grexit' would be sudden, sharp and probably conducted in the dark of night; if Greece were to quit the euro, it would also mark the beginning of a long, hard road - for some harder still than the one already travelled.

The new leftist government wants to keep the country in the currency union, as do its eurozone counterparts.

Greece's prime minister sounded a conciliatory tone ahead of his first summit with European leaders Thursday, hours after the country's talks with eurozone creditors on overhauling its bailout loans broke down.