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Greek bailout meeting ends without deal

Leaders of the main Greek parties discussed pensions at length
Leaders of the main Greek parties discussed pensions at length

Greek Prime Minister Lucas Papademos has said party leaders have failed to reach a full agreement on all measures demanded by the Troika for a new €130bn bailout.

Mr Papdemos said that one remaining issue requires further work and it will be discussed with the EC, ECB and IMF overnight.

He did not specify the issue that remained unresolved after tonight's eight-hour meeting in Athens.

However, Greek far-right leader George Karatzaferis said the three leaders had spent the bulk of the meeting discussing supplementary pensions.

Mr Papademos' officials said the coalition leaders would resume talks in the morning.

The politicians finally met after repeated delays that have prompted warnings that the euro can live without Greece.

One deadline after another has passed without the leaders making up their minds on terms for the new rescue, which Greece must receive to avoid going bankrupt next month when big debt repayments are due.

What was supposed to have been a crunch meeting yesterday was postponed because of missing paperwork, according to one party official.

The 17 finance ministers from the eurozone are ready to meet in Brussels tomorrow evening to sign-off on any deal.

The deal would then go back to the Greek Parliament for a final vote this weekend.

Euro exit speculation unhelpful - Gilmore

Elsewhere, Tánaiste and Minister for Foreign Affairs Eamon Gilmore has voiced confidence that Greece would keep the euro, saying that speculation it would exit the single currency is "not helpful".

"The euro is here to stay. I believe that all countries that are part of the euro will remain in the union," Mr Gilmore said at a private event in Washington organised by the Brookings Institution.

He added: "And frankly it's not helpful from political figures in Europe to speculate over whether any country might exit or not."

Mr Gilmore said he "naturally" understands why that type of speculation occurs, but insisted "the priority for European leaders and member states which are part of the eurozone is to make sure that the eurozone is stable".

Minister for Finance Michael Noonan has suggested that the €130bn bailout negotiations could have advantages for Ireland.

Speaking on RTE's Six-One News, Mr Noonan said if the European Central Bank was to make new concessions to Greece on its bonds, then this would encourage him that the ECB would make concessions to Ireland on the Anglo promissory notes.

However, he added that nothing had been agreed on the matter and the Irish Government's efforts were continuing.