Greek bailout interest rate cut likely as EU ministers seek to ease burden

A cut in the interest rate Greece is paying for its first bailout loan is likely to be agreed by finance ministers meeting in Brussels today in an effort to make its debt more sustainable.

It is likely to put pressure on the EU to further cut the loans to Ireland and Portugal, although there is not as much leeway to do so.

The reduction being discussed for Athens should save them about €370m in interest payments per year. This could be even more if the repayment period is lengthened out to 30 years, rather than the current 15.