Prime Minister Alexis Tsipras and German Chancellor Angela Merkel held a "constructive" phone conversation, a government official told Reuters. It could be the first step towards a compromise between the two countries, whose battling positions on the Greek debt talks has led to worries in the eurozone.
Another Athens government official said the call lasted 50 minutes. "The conversation was held in a positive climate, geared towards finding a mutually beneficial solution for Greece and the eurozone," the official said.
Greece formally requested a six-month extension to its euro zone loan agreement on Thursday, offering major concessions as it raced to avoid running out of cash within weeks, but the German finance ministry abruptly dismissed the proposal.
The PM also had a phone conversation with Italian Prime Minister Matteo Renzi. The conversation was part of a way to seek an accord on Greece's debt. Eurozone leaders are trying to bridge divisions between Greece and Germany, which has rejected a request from Athens for an extended loan deal, saying they did not commit the leftwing government to previously agreed reforms.
Italy has agreed with Germany that the new government in Athens must respect the conditions of Greece's international bailout but has struck a much more supportive tone in public comments.
Meanwhile, earlier today, Germany's Economy Minister Sigmar Gabriel said Greece's proposal to extend a loan agreement was insufficient, adding the key question is what reforms Athens' new government was willing to undertake.
"The letter can only be the start of talks," Gabriel, head of the Social Democrats who share power in conservative Chancellor Angela Merkel's coalition, said in a statement at the economy ministry.
Source: Reuters
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