The Greek government hasn't complied with the terms of the emergency loans, which the country has been receiving since 2010. Following the Euro-area finance ministers meeting in Brussels on Monday, Peter Kažimír, Slovakia's Finance Minister, in a tweet said that It looks like Greece Groundhog Day today. We'll sit down, get updates & teams will return to Athens trying to work things out.
Although the government is spending 13.3% of its GDP on old-age pensions, which is the highest among the EU countries, it still refuses to do additional cuts, forcing the negotiations to hit a dead-end. The Greek opposition leader in his recent statements said that they are not backing austerity measures. On another note, Nicholas Economides, a professor of economics at New York University’s Stern School of Business argues that the Greek recovery is once more significantly delayed by politics and Tsipras will blink at some point in time, the question is when, as reported by Bloomberg.