The biggest guarantee that Greece and its creditors will finally reach an agreement on its debt burden is the upcoming payment deadlines that will force through a deal, an IMF official has told CNBC.
European creditors and technical teams from the International Monetary Fund (IMF) have been unable to agree on certain economic forecasts – key to determine how to make the Greek public debt more sustainable.
Sensitive political issues, including the upcoming election in Germany, have also delayed the process. But, according to the IMF official, who has knowledge of the talks but didn't want to be named due to the sensitivity of the issue, the upcoming July repayments that Greece owes to creditors will ensure an agreement will be reached in about three weeks' time.
"Somebody needs to give something away. There's confidence there will be a deal in three weeks' time because of the time pressure," the official told CNBC on Wednesday.
An EU official, who has also knowledge of the talks, told CNBC on Friday morning: "It is our goal to reach an agreement on June 15."
Greece has to pay about 8 billion euros ($8.96 billion) to its creditors in July and the current impasse over its debt is also delaying further disbursements from its current bailout program. Without fresh money, Athens will struggle to repay its creditors. Failing to make a payment to creditors would make the situation for the Greek economy even worse, with an immediate effect on markets and investor sentiment.
Euro zone finance ministers and the IMF are scheduled to meet on June 15. Eurogroup President Jeroen Dijsselbloem, who chairs such meetings, said last Monday that all sides were working "to try to come to a conclusion at the next Eurogroup." His remarks followed an eight-hour meeting in which the ministers had a "first in-depth discussion on the topic of debt sustainability."