On Friday the group of 20 leading economies gave out a hopeful tone on the outlook of global growth despite the fact that officials fretted that Europe’s tentative recovery could be hampered by Athen’s inability to strike a deal with available lenders.
In a draft of a communiqué which is set to be released early Saturday morning, central bankers and finance ministries of the G20 group welcomed the positive economic signs which have been witnessed in rich economies. However, they lamented over weaknesses which can be seen in some markets of emerging nations.
“Risks to the global economy are more balanced since we last met," the draft said. "Prospects in advanced economies, notably the euro area and Japan, have improved and this could support a stronger global recovery.”
Although Greece was not mentioned by name in the Communique which was released it was clearly a top issue on the minds of those who at the G20 gathering.
While speaking to reporters George Osborne, British’s finance minister, said that the “The mood is notably more gloomy than at the last international gathering.” He went on to add that the discussions with regards to Greece’s economy "pervaded" every meeting.
“It's clear now to me that a misstep or a miscalculation on either side could easily return European economies to the kind of perilous situation we saw three to four years ago.”
The progress in the talks has been very slow and many see Greece running out of money ahead of debt repayments which are expected to be made next month.
Poul Thomsen, Director of IMF’s European Department, told reporters that, “It's important that we in the coming days make significant progress, that the process gains momentum.”