7 Feb 2012

Merkel tells Greece to speed reforms

9:12 am on 7 February 2012

German Chancellor Angela Merkel has told Greece to make up its mind fast on accepting the painful terms for a new European Union and International Monetary Fund bailout.

Greek political leaders have delayed their decision for another day, as they argue over the extent of austerity measures required for the bailout to go ahead.

Failure to strike a deal to secure the 200-billion-dollar package risks pushing Athens into a chaotic debt default that could threaten its future in the eurozone.

Speaking in Paris, Ms Merkel expressed the exasperation spreading among eurozone leaders over the delay in reaching agreement.

She said time is of the essence, as a lot is at stake for the entire eurozone.