EU official: Greek bailout terms to be changed

A front page of a newspaper shows the results of Greece's crucial elections in central Athens on June 18, 2012. AP Photo/Petros Karadjias

(AP) BRUSSELS - A European Union official says the terms of Greece's bailout will be renegotiated because worsening economic conditions have made the old agreement an "illusion."

He said that the goals of the agreement would still be to reduce Greece's debt and reform its economy to make it competitive. But how they are achieved would be up for discussion.

The official said Tuesday that the renegotiation was part of the normal process of assessing the progress of any country receiving an international bailout.

But his remarks come amid a fierce debate over how much leniency Greece should be shown. One of the main issues in Sunday's re-run election in Greece was on how much help the country could demand from the eurozone.

The official spoke on condition of anonymity, citing policy.

Comments

Watch CBSN Live

Watch CBS News anytime, anywhere with the new 24/7 digital news network. Stream CBSN live or on demand for FREE on your TV, computer, tablet, or smartphone.

Watch Now

New Android App

For your Android phone and tablet, download the FREE redesigned app, featuring CBSN, live 24/7 news.

Download
The all new
CBS News App for Android® for iPad® for iPhone®
Fully redesigned. Featuring CBSN, 24/7 live news. Get the App