Athens to request extension of loan agreement

Greece will request an extension of its loan agreement from its eurozone partners this morning, a Greek government official said yesterday. Athens was initially expected to ask for an extension yesterday. "The request will be submitted tomorrow," the official said on condition of anonymity.

The new government refuses to seek an extension of the European Union-International Monetary Fund bailout program, which is due to expire on Feb. 28 because of its demands for austerity policies. Instead, it wants to extend an agreement on loans.

German minister should feel sorry for the constantly surrender nations, says Tsipras

Greek Prime Minister Alexis Tsipras commented on German Finance Minister Wolfgang Schaeuble's recent statement that he feels sorry for Greeks. Tsipras said that Schaeuble lost his temper and took a disparaging stance toward Greeks. He also added that Schaeuble should not feel sorry for a nation that claims its rights and holds its head up, but for the nations that constantly surrender.

Speaking at Tsipras' Syriza party parliamentary group meeting, he said that no one can blackmail Greece, and for the first time, a nation is saying no to creditors and they mean it. "The red line of Greece is the red line of all people of Europe," Tsipras said. He added that the Greek nation demands relief from the disastrous austerity policies, and that the relief cannot be achieved if the same mistakes proposed by creditor nations are repeated.

Tsipras also noted that while problems cannot be overcome in three weeks, Greece no longer feels scorned and no one can try to exploit Greeks. He said that they will keep their word, not back down and implement legislation that will prevent a humanitarian crisis caused by memorandum policies and regulate working conditions. Tsipras further underscored that while the negotiations are ongoing, the solution will not come from technocrats but Europe's political leaders.

Greece faces resistance to extra emergency funds for banks

The European Central Bank (ECB) faces resistance from Germany to allow any extra emergency lending for Greek banks, sources familiar with the matter said, increasing pressure on Athens to sign up to an extended aid-for-reform program.

As Athens said on Wednesday, it would ask for an extension to its loan agreement with the eurozone, the ECB's policymaking Governing Council gathered to decide how far the cash-strapped country may support weak banks, which face rising deposit outflows.

While the ECB is unlikely to lower the ceiling on emergency lending assistance (ELA) by the Greek central bank, a refusal to increase it would nonetheless be bad news for Greek banks, which are close to using up the full 65 billion euros granted so far.