Yahoo – AFP,
17 April 2015
Washington (AFP) - Greece must undertake reforms to bring stability to its shaky financial system, US President Barack Obama said Friday, adding that Washington is open to flexible policies that nudge the European nation's economy toward recovery.
Washington (AFP) - Greece must undertake reforms to bring stability to its shaky financial system, US President Barack Obama said Friday, adding that Washington is open to flexible policies that nudge the European nation's economy toward recovery.
"Greece
needs to initiate reforms," Obama said at a joint press conference with
Italian Prime Minister Matteo Renzi at the White House.
"They
have to collect taxes. They have to reduce their bureaucracy, (institute) more
flexible labor practices," Obama added.
Investor
worry has intensified over the plight of Greece in recent days. Greece and its
international creditors will meet Saturday in Brussels to discuss Athens'
massive debt bailout program and the reforms it must adopt in exchange for
urgently needed funds.
Obama,
recalling a phone call with Greece's incoming prime minister Alexis Tsipras
earlier this year, said his administration "will be supportive of some
flexibilities in how you move forward so that you can make investments."
"And
it's not just squeezing blood from a stone, but you have to show those who are
extending credit and supporting your financial system (that) you're trying to
help yourself."
Progress in
talks with Greece has remained elusive, with Athens running out of money to pay
its creditors, raising the risk of a default and a potentially chaotic exit
from the single currency bloc.
Greece
wants the last tranche of its bailout funding worth 7.2 billion euros ($7.8
billion) to keep afloat and repay its debts to the IMF and European Central
Bank, but has balked at tough reform conditi
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