Eurozone ministers gather to decide Greece's fate - live updates
- Deal to extend Greek bailout by four months "done"
- Varoufakis: "Not a moment for jubilation, but small step in right direction"
- Schiuble: "Greeks will have difficult time to explain deal to voters"
- Investors on edge over Grexit fears
- Malta: Germany is ready to let Greece go
9.59pm GMT
With this, we'll wrap things up. Good night, thank you for reading and for all your great comments. We'll be back on Monday.
9.56pm GMT
The presser is over. And the overarching conclusion in Athens is that had a deal not been cut, Greek banks would have suffered the fate of those in Cyprus - and been forced to implement capital controls, says Helena Smith.
9.50pm GMT
... and here is our story in full.
9.43pm GMT
The Greek finance minister Yanis Varoufakis is still firing on all cylinders as he addresses the international press in Brussels.
Bravura performance by a man who is never at a loss for words, says Helena Smith adding that the neophyte politician has spent much of the presser persuading Greek journalists that the new government will not roll back on its promises to abolish austerity.
9.34pm GMT
Here is some instant analysis from Raoul Ruparel, head of economic research at think tank Open Europe:
What does today's #Greece agreement do and why? All the answers in our instant analysis: http://t.co/egVQaC3KKo
9.25pm GMT
Another line from German finance minister Wolfgang Schiuble:
I can stand behind today's agreement.
9.18pm GMT
Wall Street has closed. The Dow Jones and S&P 500 notched up fresh record highs.
9.16pm GMT
The European Central Bank said there is now no need for Greece to impose capital controls.
An ECB source told Reuters:
Capital controls are out of the question.
9.12pm GMT
The Greek finance minister has made a HUGE confession, reports Helena Smith.
Our big anxiety now is whether we can enforce these reforms. That is the big national bet,
9.09pm GMT
Greek finance minister Yanis Varoufakis insisted that the new leftist-led government would do what few of its predecessors had done: keep to a balanced budget. He told reporters in Brussels:
The only commitment that we took today is that whatever measure we take will not affect fiscal stability.
9.02pm GMT
What does the statement really mean?
.@lorcanrk wins finance twitter, again. The Eurogroup presser explained. Click on the paragraphs. http://t.co/m5h98DDqwD
8.58pm GMT
Meanwhile, German finance minister Wolfgang Schiuble said Greece won't receive new funds unless it completes its bailout programme, according to Reuters:
The Greeks certainly will have a difficult time to explain the deal to their voters.
As long as the programme isn't successfully completed, there will be no payout.
8.53pm GMT
The verdict of analysts in Athens: Greece under it's new leftist-led administration has made the big concession of extending the bailout programme as enforced by the previous government, but it has agreed to do so on its own terms, according to Helena Smith
8.48pm GMT
The Greek finance minister Yanis Varoufakis has kicked off his own press conference saying: "three Euro groups were needed to change page - in Greece and in Europe," reports Helena Smith in Athens who is watching the press conference (in Greek).
He has just described the deadlines demanded of Greece and its newly installed government as "inhuman" and has spoken of the need to respect the electorate's will.
This is not a moment for jubilation. This agreement is a small step in the right direction."
8.45pm GMT
So much for mutual trust. Dijsselbloem said the eurozone funds to recapitalise Greek banks held by Greece will remain available for that purpose - but the a11bn will from now on be held by the eurozone bailout fund and released only at the request of the European Central Bank.
8.38pm GMT
How much has Greece actually won, other than some breathing space?
Eurogroup chair Jeroen Dijsselbloem said Greece agreed to have "appropriate" fiscal surpluses to guarantee debt sustainability.
The Eurogroup reiterates its appreciation for the remarkable adjustment efforts undertaken by Greece and the Greek people over the last years. During the last few weeks, we have, together with the institutions, engaged in an intensive and constructive dialogue with the new Greek authorities and reached common ground today...
The Greek authorities have also committed to ensure the appropriate primary fiscal surpluses or financing proceeds required to guarantee debt sustainability in line with the November 2012 Eurogroup statement. The institutions will, for the 2015 primary surplus target, take the economic circumstances in 2015 into account.
8.31pm GMT
The press conference is over.
You can read today's agreement in full on the Eurogroup's website here.
8.28pm GMT
IMF chief Christine Lagarde just clarified that the current bailout expires in March 2016.
8.27pm GMT
A Greek government official has told Reuters that today's agreement gives Greece time to work on a new financial deal.
Greece today has turned a page... We have avoided recessionary measures.
8.24pm GMT
Deal freezes into a process what Varoufakis got Thursday. @Dijsselbloem language conciliatory on GR domestic programme going forward.
8.23pm GMT
Dijsselbloem sidestepped a question on when the first disbursement of money to Greece will be made.
8.20pm GMT
During the Q&A in Brussels, Dijsselbloem stressed:
Economic recovery cannot be put in danger, fiscal stability cannot be put in danger, financial sector stability cannot be put in danger.
8.16pm GMT
The euro is rallying on news of a deal. It's now trading at $1.1389. On Wall Street, the Dow Jones rose 0.85 to 18,124.33 while the S&P 500 rose 0.5% to 2,108.16.
8.12pm GMT
Lagarde:
We look at it as a set of stages and timeline by which work has to be done. We are very pleased that work can begin.
8.09pm GMT
Over to IMF head Christine Lagarde. She said:
It has been a laborious but eventually constructive process.
8.06pm GMT
The end of April has been set as a deadline to agree a final list of Greek reforms with the country's creditors.
8.04pm GMT
He concluded his opening statement by saying:
This is a very positive outcome.
8.03pm GMT
Dijsselbloem said the agreement was an important first step in rebuilding trust. The Greeks asked to extend the financial rescue by six months, but eurozone ministers agreed on four.
He said Greece will present a list of reform measures on Monday and the institutions will then assess if they are comprehensive enough.
8.01pm GMT
The press conference in Brussels has kicked off. Eurogroup chairman Jeroen Dijsselbloem said Greece had given "their unequivocal commitment to honour their financial obligations" to creditors.
You can watch the press conference here.
7.59pm GMT
An agreement has been reached but analysts in Athens are already describing the concessions made by the Greek government as "politically poisonous," Helena Smith reports.
Prime minister Alexis Tsipras' government will almost certainly face fierce reaction from militants in his radical left Syriza party and from the populist right-wing Anel, his junior partner in the governing coalition. "Very heavy concessions have been made, politically poisonous concessions for the government," Pavlos Tzimas, the veteran political commentator, has just told SKAI news. "It's going to be a crash test on the domestic front for the government," the television channels says. "The big question now is what reforms the government is going to agree to," Takis Hadzis, another commentator, has also told Skai news.
7.45pm GMT
Press conference in Brussels to start soon.
7.41pm GMT
Looks like a deal on Greece has been reached. Reuters reports that Greece and eurozone finance ministers have agreed to extend the Greek bailout by four months. One official said:
It's done. For four months.
7.32pm GMT
I know we hacks have a cushy life, but waiting like a lemon for a draft EU or eurozone communique is so TEDIOUS #Greece
I see my Brussels colleagues are so close to the edge that they've started playing #EurogroupMovies. Jesus
7.31pm GMT
More from our Athens correspondent Helena Smith:
Brussels-based Greek correspondents are reporting that the euro group is about to end. "They came here determined to have a political solution otherwise on Tuesday it would have been necessary to enforce capital controls [on Greek banks]," Eleni Varvitsiotis, SKAI's reporter has just told the Athens-based TV station. Reports that a press conference will start in Brussels around 8pm GMT.
7.29pm GMT
Looks like Germany isn't the only one Greece has to win over. (Spain and Portugal have anti-bailout parties nipping at their heels.)
#Greece Skai tv reports Spain and Portugal tried to block the deal btwn Greece-Eurozone and had strong objections
7.19pm GMT
In Athens, SKAI TV's flaghsip news programme has confirmed that Greece must produce a list of reforms by Monday - and that it will be a labour-intensive weekend for the government.
The reforms will include Greece detailing how:
7.10pm GMT
White smoke in Brussels? "We hope that in half an hour it's over," says one official.
7.01pm GMT
Lest we get carried away...
Aides in Greek prime minister Alexis Tsipras office are suggesting that while progress is being made a deal may well be some way off yet, says Helena Smith.
6.58pm GMT
The draft text proposes extending Greece's bailout by four months rather than six as previously suggested, Reuters reports, citing officials from Greece and other eurozone countries.
6.56pm GMT
News flash on Reuters: the draft agreement includes a requirement for Greece to submit a letter to the Eurogroup by Monday outlining all the measures it plans to take during the remainder of the bailout period, to ensure Athens complies with the conditions.
6.46pm GMT
Mega TV is now reporting that up to a1bn has been withdrawn by worried investors from local banks in Greece today, says Helena Smith in Athens. It is citing central Bank officials as saying that if the outflows keep at this pace, local lenders will need emergency funding from the European Central Bank "within the next week" to avoid financial collapse.
The Greek government has apparently agreed to present "a list of reforms" to creditors by Monday, according to reporters outside the prime minister's office. "The reforms will not include any measures that will worsen the country's humanitarian crisis" Christos Tsigouris, Mega's reporter, has been told by aides in the PM's office.
6.42pm GMT
European commissioner for economic affairs Pierre Moscovici tweets from the Eurogroup meeting in Brussels: "We're making progress."
On avance, on avance, on avance..
Di(C)claration i mon arrivi(C)e i la ri(C)union de l'#Eurogroupe de ce jour : http://t.co/wKFQnERys9 #Grece #eu_commission #Eurogroup
6.36pm GMT
Here are some comments from an EU official, who said that EU chief Donald Tusk won't convene a summit of eurozone leaders on Sunday, even if finance ministers fail to come up with a deal on Greece, as reported earlier. Confirming that the Greek prime minister had asked Tusk to call a summit on Sunday if there's no deal, the official said, according to Reuters:
There will be no euro summit Sunday. However, Tusk will not hesitate to convene a euro summit, should he consider that this will be the right way to handle the situation. Before convening a summit, all options in the Eurogroup should be exhausted.
6.30pm GMT
A Greek government official said, according to Reuters:
There is an initial agreement on a joint draft text among the institutional partners, which is now being presented to all of the ministers.
6.26pm GMT
Over in Athens, Mega TV on its flagship news programme is reporting the following, says Helena Smith:
6.20pm GMT
#Greece govt source says agreement refers to 4 months extension and doesnt include austerity measures
6.19pm GMT
European Council president Donal Tusk has ruled out holding a summit of eurozone leaders on Greece on Sunday - but stands ready to convene one in due course if necessary, Reuters reports.
6.02pm GMT
Quoting a eurozone official, Reuters says the Eurogroup chairman Jeroen Dijsselbloem is now presenting the two-page draft statement to the 19 eurozone finance ministers.
A Greek government official told the news agency, after preparatory talks between the Greek and German finance ministers, and the managing director of the IMF (a creditor):
There is an initial agreement on a joint draft text among the institutional partners, which is now being presented to all of the ministers. Details may be defined later. But let's see.
5.57pm GMT
Meanwhile, the Greek news portal newsit.gr is reporting that Germany has no desire to see anything conclusive out of today's euro group - and has gone so far as to suggest that Berlin's objective is to deliberately sabotage negotiations so that an emergency summit of EU leaders is held next week.
Helena Smith in Athens says there is mounting speculation that a summit will be called next Tuesday, after the Greek bank holiday of 'clean Monday" marking the start of Lent (and isn't Lent an apt term! JK). "Germany's aim is for tonight's euro group to fail so that we are lead to a summit meeting in which Tsipras sits opposite Merkel and each one shows their cards at whatever cost," the news site said.
5.55pm GMT
Jennifer Rankin reports:
It is the end of the working week in Brussels, but the 19 finance ministers have only just started talks on Greece's bailout deal. The start was delayed to allow for some last-minute shuttle diplomacy between Greece's finance minister, Yanis Varoufakis, and his German opposite number, Wolfgang Schiuble, brokered by officials from the European Commission and International Monetary Fund.
The head of the IMF, Christine Lagarde, was one of the first to arrive for today's meeting. Jeroen Dijsselbloem, the head of the eurozone, has also been deeply involved. With some understatement, he described the talks earlier as "quite complicated".
It looks increasingly likely that anything agreed tonight will only be a holding deal, pending yet more talks.
5.53pm GMT
Our reporter on the ground in Brussels tweets:
EU source: There is a text, which now needs to be adopted by ministers. #eurogroup #greece
5.51pm GMT
Reuters reports that eurozone finance ministers gathered in Brussels have drafted a common text that could form the basis for an agreement to extend Greece's bailout package, citing Greek and eurozone officials. However officials stressed that there is as yet no formal agreement.
5.48pm GMT
The euro jumps on the news, close to session highs of $1.1394.
5.47pm GMT
Another news flash on Reuters: Eurozone ministers have agreed a draft accord with Athens that could extend the Greek bailout, according to a Greek government official.
5.42pm GMT
Talks to save Greece from an imminent cash crunch have finally started in Brussels, Guardian reporter Jennifer Rankin reports.
The make-or-break talks between 19 eurozone finance ministers are running more than three and a half hours late, delayed because of last-ditch preparatory talks involving the German finance minister, Wolfgang Schiuble, and his Greek counterpart, Yanis Varoufakis.
5.39pm GMT
News flash on Reuters: The Greek prime minister Alexis Tsipras has asked European Council president Donald Tusk to convene an EU summit on Sunday if finance ministers fail to hammer out a deal today, according to a Greek government official.
5.36pm GMT
Greece has reacted with fury to suggestions that it sent the "wrong" letter outlining its request for a sixth-month extension of its bailout programme, our correspondent in Athens Helena Smith reports.
The Greek media is reporting that an irate Yanis Varoufis emerged from talks in Brussels with fellow euro zone finance ministers this afternoon to vehemently denounce the allegation - carried in the mass-selling German tabloid Bild (as reported earlier).
The truth bears no reality, whatsoever, to these slanderous leaks.
5.33pm GMT
Varoufakis has dismissed the report from German newspaper Bild that Greece sent the wrong letter to request a loan extension on Thursday. He tweeted (from the Eurogroup meeting in Brussels):
One must believe @BILD's tall stories (about us Greeks) at one's peril.
5.03pm GMT
Let's have a look at the markets.
Greek bond yields pushed lower on hopes that Athens and Brussels will, eventually, reach a deal. Yields on ten-year government bonds dropped 8 basis points to 10.15% while three-year yields tumbled 57 basis points to 16.55%.
4.44pm GMT
More on those suggestions that a deal won't happen today.
Newswire MNI reports that Eurogroup finance ministers aim to release a joint statement this evening on Greece which will outline that significant progress has been made in the negotiations, but a deal is being held up by "technicalities".
The aim, as it is at the moment, is to get the joint statement out this evening and hold a teleconference over the weekend to finalise the deal, if all goes well.
4.31pm GMT
While we are waiting for news from Brussels, here are some interesting charts courtesy of the Economist.
Greece's economic woes in charts http://t.co/720Wnrmkfd pic.twitter.com/7XQKtQShoZ
4.24pm GMT
You couldn't make this up. Apparently, Greece sent the wrong letter on Thursday, German newspaper Bild reports, citing government sources.
The right version supposedly accepted bailout conditions agreed to by the previous Greek government.
3.42pm GMT
Eurogroup President Jeroen Dijsselbloem has given a brief statement before he chairs the meeting.
The eurogroup will start as soon as possible, but it's quite complicated.
There is still reason for optimism but it is very difficult.
3.18pm GMT
Austria's finance minister said there was still much to discuss as he arrived for the eurogroup meeting in Brussels.
Hans Joerg Schelling said the Greek proposals left much to interpretation, suggesting clarity and more detail would be needed before an agreement is possible.
Austria's Schelling: "We have a letter. This letter has many sentences with much space for interpretation. We have to work on it now..."
Austrian fin min Schelling broadly shares German line: Greek letter leaves much to interpretation and this has to be ironed out.
2.58pm GMT
German finance minister Schauble has pulled out of public debate Monday with George Osborne "because of the Greece situation", we are told
This doesn't fill me with hope that a deal is going to be struck today...
2.49pm GMT
Eurogroup seeks joint statement w/ #Greece on Friday, Eurogroup official says. Could hold teleconference over weekend to hammer deal. (MNI)
2.46pm GMT
The watchword for Germany is trust. For Greece it is honour. Still not clear the two can be reconciled.
2.42pm GMT
Next up is Christine Lagarde, managing director of the International Monetary Fund.
2.35pm GMT
Germany's finance minister Wolfgang Schaeuble has arrived for the meeting in Brussels.
This is about being able to trust each other and that we can reinforce the trust in the future of this European unification project of people in all European countries.
That's the actual task and that's what we are working on with all our might.
German Fin Min Schaeuble arrives for key meeting on Greece: 'everything that needs to be said has been said.'
2.10pm GMT
Yanis Varoufakis has arrived in Brussels and has been speaking to reporters on his way into the eurogroup meeting.
He said he is still hopeful of a deal today, and suggesting Greece is offering a large dollop of compromise.
I trust that we are going to have one. The Greek government has not just gone the extra mile but the extra 10 miles and now we are expecting our partners not to meet us halfway but a fifth of a way.
I have no doubt there will be a very collegial discussion and hopefully at the end of this we come out with some white smoke.
Varoufakis arrives at the eurogroup hoping for a deal: "The Greek government has gone not the extra mile, but the extra 10 miles."
#Greece: FinMin optimist at arrival to #eurogroup meeting - "there will be white smoke w/ a bit of luck" "@beanavarro pic.twitter.com/gVIJyY9yn6
Michel Sapin of France is here: the solution lies in every eurozone capital, everyone is working.
2.03pm GMT
Upshot of Merkel-Hollande talks seems to be that further EU meetings on Greece - with france and germany in lead - are inevitable.
1.55pm GMT
The German Chancellor Angela Merkel and French President Francois Hollande followed a meeting in Paris with a press conference.
Greece is in the eurozone and it must remain in the eurozone.
1.37pm GMT
Angela Merkel and Francois Hollande are giving a press conference. It's live here.
1.32pm GMT
This is the moment for a historic political decision for the future of #Europe pic.twitter.com/vdBcv10UXk
But which way will it go?
1.32pm GMT
A deal is unlikely to be struck at the eurogroup meeting in Brussels today, an unnamed EU official has told Bloomberg.
The official said finance ministers might have a long meeting that is not conclusive, but added they might be able to agree on a "statement of progress", with some commitments from Greece.
EU official says #Greece deal Friday night looking unlikely; Ministers might be able to agree on statement of progress
Same EU official says Progress Statement could pave way for more technical work and ministers could have conference call on Sunday or Monday
Meanwhile ... German 5 year yield drops to record low of -0.084%
1.19pm GMT
Market jitters are really starting to surface now as hopes fade that a deal will be struck today
Greek shares have fallen into the red, with the ATG index down 1.7% at 841.6.
1.09pm GMT
The Maltese finance minister says countries led by Germany are prepared to see Greece leave the eurozone.
They are becoming increasingly frustrated with Greek government demands, according to Edward Scicluna.
I think they've now reached a point where they will tell Greece: "if you really want to leave, leave".
And I think they mean it because Germany, the Netherlands and others will be hard and they will insist that Greece repays back the solidarity shown by the member states by respecting the conditions.
12.52pm GMT
Greek investors are feeling less optimistic than they were at the beginning of the day.
The ATG index in Athens - up more than 1% this morning - is now roughly flat, up just 0.1% at 857.4.
12.44pm GMT
It's all beginning to feel a little bit fraught now as time ticks on. Conflicting views among some of the key players are muddying the waters.
I feel certain that the Greek letter for a six-month extension of the loan agreement with the conditionalities that accompany it will be accepted.
This is the moment for a historic political decision for the future of Europe.
12.32pm GMT
The euro has fallen further against the dollar since Spiegel's report that the ECB is making plans for a Greek exit from the euro.
It slipped below a1.13 at one point is now trading at $1.1307.
The market is making way too much of thie Spiegel | ECB report #FX #EURO #Greece
Spiegel wailing about ECB contingency planning for a #Grexit. I would think they are; what incentive do they have to not?
12.22pm GMT
The emergency eurogroup meeting has been delayed by an hour and an half to 16.30 (15.30 UK time).
Start #Eurogroup rescheduled to 16.30. Very brief statement president Dijsselbloem somewhere around 15.00 at VIP entrance.
12.17pm GMT
Officials at the European Central Bank are preparing for a Greek exit from the euro, German magazine Spiegel is reporting.
ECB staff are drawing up contingency plans for how the rest of the eurozone could stay together in the event of a Greek exit.
12.00pm GMT
Portugal appears to be taking a hard line on Greece.
The country's prime minister, Pedro Passos Coelho, said it is "not acceptable" that Greece is not assuming responsibilities in exchange for funding.
Portugal: Unacceptable to Extend Greek Loans Without Conditions
11.24am GMT
Both sides now appear to be playing down the prospect of a positive outcome from today's emergency eurogroup meeting on Greece's potential bailout extension.
Highlighting the growing perception that today's meeting could be one of many, Yiannis Amanatidis, an MP with the governing radical left Syriza party, has just told SKAI TV that "today the discussion will begin."
"I am not expecting a final result, today it all begins," he said. Asked if a solution would ultimately entail the Greek parliament having to endorse yet more austerity measures as creditors at the EU and IMF have demanded, the MP (looking a little pale) shook his head and said: "no, that is the difference between us and the previous government whose policies only ensured recession."
10.37am GMT
There is already quite a lot of chatter about the possibility of ANOTHER summit (or two, or three) should today's talks end in stalemate.
Helena Smith reports from Athens:
Officials are playing down talk of make-or-break decisions today, saying negotiations have only just begun.
For the Greeks this is not D-Day but very likely the first in a series of eurogroups and top-level meetings that will get down to the "to and fro" of negotiation.
#Greece will request EU summit should Eurogroup talks fail, a top ranking SYRIZA official has told dpa.
Investors still don't think #Greece will exit the #Euro. Greek bonds trade 24% above 5yr avg. http://t.co/LCkFY2wjzv pic.twitter.com/DFLoRag00c
10.22am GMT
A Greek government official has told Reuters that Greece and the rest of the eurozone are close to reaching a deal ahead of this afternoon's all-important meeting in Brussels.
The official, who did not want to be named, said Greece had made a lot of concessions and that the eurozone should also be flexible.
We have covered four fifths of the distance, they also need to consider one fifth.
10.10am GMT
Over in Athens, the Guardian's correspondent Helena Smith says there is a lot of talk about whether or nor Greek banks can survive the massive surge in cash withdrawals in recent weeks.
In the corridors of power and on the street, there is a pressing issue that many now speak about only in hushed tones and confidential whispers: the solvency of Greek banks.
No society can exist for long without a properly functioning banking system. Since prime minister Alexis Tsipras' far left Syriza party surged to power, the political uncertainty that has accompanied the drama over whether Greece pulls out of its EU-IMF funded bailout programme, has resulted in massive withdrawals from local lenders.
9.49am GMT
The euro is down against the dollar for a third day as traders remain cautious. It is currently trading at $1.1316, down 0.4%.
Adam Myers, European head of currency strategy at Credit Agricole, thinks markets are being too optimistic that an agreement will be reached between Greece and the rest of the eurozone.
The reason that the euro is not lower is that a lot of people still have this sanguine view that there will be an agreement because they have to reach one.
At the moment the market reaction is too sanguine.
There is clearly a very significant concern reemerging at the moment that we are seeing real issues surrounding the eurozone. If they have to impose capital controls to keep Greece in, that is really about a two-tier euro and is that then the beginning of the end?
9.23am GMT
Thank you for your comments so far this morning, please keep them coming.
There doesn't seem to be much optimism about the outcome for Greece among readers.
8.56am GMT
Optimism reigns in Athens this morning if Greek share prices are anything to go by.
The main ATG index is up 1.4% at 868.27. The banks are the main gainers.
8.43am GMT
Finland's finance minister says he is hopeful that a deal will be agreed to extend Greece's bailout programme.
Speaking to newspaper Helsingin Sanomat, Antti Rinne said:
Last night a spark of hope arose that an understanding could be reached ... so that Greece could continue the underlying programme to strengthen its economy.
8.28am GMT
European investors are feeling cautious this morning before this afternoon's crunch eurogroup talks.
Shares are modestly lower, suggesting that while the German finance ministry's comments have knocked sentiment, investors are not giving up on the idea that a compromise can be reached.
8.16am GMT
It has been a challenging few weeks for the new Greek government, particularly for the Prime Minister Alexis Tsipras and his finance minister Yanis Varoufakis.
Jetting back and forth between parliament in Athens and meetings with his counterparts across Europe, Varoufakis is determined to keep some perspective despite the pressure.
Two nights ago I saw S, Beckett's Happy Days (Greek National Theatre). Splendid performance(s). Such a relief from you know what...
8.09am GMT
Will there be light at the end of the tunnel for Greece?
Guenther Oettinger, Germany's EU commissioner, believes a deal is possible between Greece and its eurozone creditors but that it might take longer than a day to hammer out an agreement.
We are working so that Greece stays in the eurozone .
On this basis I think an agreement will still be possible in the next eight days - if necessary via a further meeting of government leaders.
7.59am GMT
Greek prime minister Alexis Tsipras had a series of telephone conversations with fellow eurozone leaders, to discuss Greece's proposals.
Significantly, he spoke to the German Chancellor Angela Merkel, hinting that she does not share her finance minister's uncompromising stance. It was Wolfgang Schaeuble's office that rejected the Greek proposals on Thursday.
Phone call w/Chancellor #Merkel earlier today: positive tone, and interest in finding a mutually beneficial solution for #Greece & #Eurozone
On the phone with @fhollande He sincerely wants to find a mutually beneficial solution #Greece pic.twitter.com/IgaRu20dNF
7.51am GMT
Good morning.
#Eurogroup Friday in Brussels as of 15.00.
There is a phrase for what Germany is seeking to do to Greece: a Carthaginian peace. It dates back to the Punic wars when Rome emerged victorious in its long struggle with Carthage but refused to allow its opponent the chance of an honourable surrender. Instead, it enforced a brutal settlement, burning Carthage to the ground and enslaving those inhabitants it did not massacre.
A Carthaginian peace is what is being offered to Alexis Tsipras. On Thursday, the Greek prime minister made it clear that he was willing to see the white flag of surrender flutter over Athens. He accepted that he would have to swallow most of the conditions demanded of him by Greece's eurozone partners but asked for a few concessions to sugar the pill.
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