Greece's creditors demand more concessions in last-ditch talks

Greece's international lenders were demanding fresh concessions on Wednesday, adding to uncertainty over whether a deal was possible.

Greek Prime Minister Alexis Tsipras met today with the heads of the International Monetary Fund, European Central Bank and European Commission in Brussels.

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But there are reports that the IMF, which took a hard line stance and walked away from talks last week, has objected to Greece's latest proposals, saying they rely too heavily on tax increases rather than spending cuts.

A Greek official said the negotiations were "tough" but was still optimistic. "But there is a common will to get somewhere," he said.

The official said creditors are demanding, among other things, a freeze on pensions, scrapping some proposed taxes and surcharges on business, and higher sales tax on some goods.

Debt relief kicked down the road

Among the unresolved issues were labour laws, collective bargaining, public sector wages, opening up closed professions and corporate income tax.

Also in dispute were Tsipras' demands for debt relief, which eurozone partners do not want to address at this stage.

If Tsipras gives in to more sales taxes or lower pensions, he will have trouble selling the deal to the Greek public or to his legislators.

A series of recent protests, some organized with Syriza's support, have underlined public opposition to yet more belt-tightening.

Little acceptance in Athens

"There are four people in my household, and we are living on 600 euros a month. Where else does that happen?" said 59-year-old Antonia Methoniou, a cancer patient who took early retirement for health reasons.

Greece will have to put the agreed measures through its parliament by Monday so that some other eurozone parliaments can endorse the deal and unblock aid funds.

Athens must repay 1.6 billion euros ($2.2 billion Cdn) to the IMF next Tuesday.

The 19 finance ministers from the eurozone states discussed the Greek proposal in more detail in the afternoon and evening, before government leaders meet for a summit on Thursday.