He said he was “hopeful” a deal would be reached but added, “We remain at a crossroads.” Meanwhile speculation peaked about the circumstances surrounding Dallara’s departure from Athens early on Saturday. The IIF said that Dallara’s departure had been planned and insisted that there had been no breakdown in talks on the debt swap, dubbed PSI for private sector involvement. But Antenna quoted sources as saying that the IIF chief had met with officials of the French and German finance ministries at the Paris Club on Saturday night for a “secret dinner” where the Greek debt swap issue was allegedly discussed. There was also much speculation over the weekend about austerity measures that the IMF, the European Commission and the European Central Bank -- known as the troika -- would demand from Greece in exchange for more rescue aid. Kathimerini understands that the troika has some key demands.
These include the closure of 100 state entities, resulting in some 10,000 layoffs; the trimming of the 13th and 14th salaries paid to workers in the private sector; cuts to auxiliary pensions and the full liberalization of all closed professions.