1 Billion Euro Greek Bailout Installment Faces New Problem



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The final disbursement of the first part of the three year 86 billion euro Greek bailout could be undermined by an ongoing disagreement between the Greek government and its creditors.

While the Euro Working Group, the preparatory body of the Eurogroup, approved the one billion euro installment on Thursday, one issue still remains unresolved.

The two sides are colliding on the degree to which the diagnostic centres should drop their prices for tests, in order to relieve the payments the Greek national healthcare provider (EOPPY) has to make for its insured patients.

Creditors are asking the government to order the reduction of the price of these tests at diagnostic centers. Creditors have asked for a 40% reduction in the price, while the Greek government is only willing to cut prices of the 51 most expensive tests by 22.5% and slash prices of the remaining tests by 5%, Kathimerini newspaper reports. Negotiations on the matter are currently taking place.

The Greek government has yet to issue an official ministerial decision on the price reduction, something which it needs to do to secure the release of the one billion euro.

The European Stability Mechanism is scheduled to convene on Monday to authorize the disbursement of the money.