The Federal Government obtained late on Tuesday evening the draft Memorandum of Understanding struck between the institutions and Greece. It is now examining the agreement closely, government spokesperson Steffen Seibert stressed on Wednesday. However it is still too early to make a full assessment since some relevant documents are not yet available, he said.

Greece agreed with the European Central Bank, the European commission and the International Monetary Fund on the “Memorandum of Understanding”, which is now being examined by the eurozone finance ministers. The agreement must also be approved by the Greek Parliament. Afterwards, it should also come before the Bundestag.

"The right direction"

Seibert stressed that the third financial rescue programme and the Memorandum should be looked at with the necessary thoroughness. After all, the programme is to be implemented over the next three years. The Greek government was constructive and results-oriented in its discussions with the institutions. Negotiations took place in an atmosphere that hadn't been experienced in the past months, Seibert added. "So one can say that the agreement goes in the right direction. But at this hour it is not yet possible to say whether we are at the point where we can start the national process, in other words call for a vote in the Bundestag".

Greek Parliament to vote on bailout deal Thursday

The memorandum contains reform requirements for the next few years and a number of "prior actions" that need to be approved before new bailout money can start being disbursed. The Greek parliament is set to vote on the memorandum and the prior actions on Thursday. "If you consider where we've come over the past months in this discussion, this is a substantial result", Seibert said.

The spokesperson of the Federal Ministry of Finance urged to emphasise "thoroughness over speed" in the assessment of results.

On 12 July the heads of state and government of the euro countries had agreed with Greece on a third bailout. The Greek government submitted a corresponding request to the European Stability Mechanism (ESM). According to the rescue programme, the country would receive loans totalling between 82 and 86 billion euros over the next three years. The specifics of the aid programme are currently being negotiated. In order to be entitled to the credits, the Greek government must fulfill numerous and far-reaching requirements concerning reforms of the Greek state and economy.