PARIS (MNI) – The Institute of International Finance, which
represents banks involved in the proposed Greek debt swap, said Tuesday
that negotiations should resume on Wednesday with “a sense of urgency.”

IIF Managing Director Charles Dallara and Jean Lemierre, special
advisor to the chairman of BNP Paribas, will return to Athens on
Wednesday to resume talks with the government, the institute said in a
press release.

Dallara and Lemierre, who are co-heads of the steering committee
representing the banks, “reiterated their commitment to seeking an
agreement on a voluntary debt exchange for Greece and encouraged all
parties to work in good faith toward this end with a sense of urgency.”

Greece is facing a hard deadline on March 20, when E14.4 billion in
bond redemptions come due. In order to make the payment, it needs to
have an agreement by private investors to reduce the value of their
Greek debt holdings by 50%.

The talks have reportedly stalled over disagreements between
official creditors and the banks over issues including the interest
rates to be paid on the new bonds involved in the swap.

–Paris newsroom, +33142715540, jduffy@marketnews.com

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