Greece denies Eurozone exit plan

Al Jazeera English

by Al Jazeera English

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George Papandreou, the Greek prime minister, is denying his country is getting ready to leave the Eurozone.

Rumours that Athens was quitting the single currency has lead to a fall in the value of the Euro.

Finance Ministers from the Eurozone's biggest economies have been holding talks on Greece's debt crisis.

Greece's sovereign debt stands at $470bn. That is more than a year-and-a-half of its entire economic output.

The European Union and the International Monetary Fund agreed a loan of $160bn in May last year. The terms were eased in the spring.

But the financial markets consider the high repayments as unsustainable, leading to growing fears of a default. That could spell disaster for the Eurozone.

Al Jazeera's Tim Friend has more.