Euro falls on Greece debt fears

**The euro has fallen further against the dollar following Greece’s request for more talks on a financial rescue plan.**The currency fell to $1.3546, after falling by 1 cent on Thursday.

On Sunday, the eurozone and International Monetary Fund (IMF) agreed details of a multi-billion euro rescue plan for debt-ridden Greece.

Although Greece has said it does not plan to take advantage of the programme of loans, its request for talks undermined investor confidence.

High debts

On Tuesday, Greece successfully raised 1.56bn euros ($2.1bn; £1.4bn) in an over-subscribed issue of bonds, designed to raise money to repay some of its debt.

However, the country’s finance ministry said on Thursday that it had written to the European Union, European Central Bank and IMF to discuss the rescue plan.

The IMF’s managing director, Dominique Strauss-Kahn, responded to the letter, saying he would send a team to Athens on Monday to begin negotiations.

Many analysts believe Greece will have little choice but to ask for help as it will not be able to raise enough money, at an affordable rate, to pay off its debts.

Greece needs to borrow about 11bn euros by the end of May, and a total of 54bn euros by the end of the year.This article is from the BBC News website. © British Broadcasting Corporation, The BBC is not responsible for the content of external internet sites.

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