European governments chose to withhold the decision on whether an additional aid payment of €12bn should go to the Greek government, saying the nation needs to put a strict austerity package in place first.
Luxembourg’s Prime Minister, Jean-Claude Juncker, who chairs the 17-strong group of European finance ministers, said: “We agreed that there should be a private creditor participation, which should be voluntary because we want to avoid any credit default or credit event.” Juncker added: “It has to be clear that Greece has to bring about a situation where all the expected commitments are taken care of. In the beginning of July we will continue to discuss the private creditor participation, which will be voluntary and we will have to check whether Greece has fulfilled all its obligations.”
