Fitch: Greece deal possible, but risks high if it's drawn-out; eurogroup leader in Athens

MarketsAssociated Press

The ratings agency Fitch says an agreement between Greece's new left-wing government and rescue lenders is still possible but is warning that drawn-out negotiations pose a "high risk" to the country's fragile economy.

The agency said Friday both sides have a "strong incentive" to reach an agreement to release the remaining money from 240 billion-euro ($270 billion) bailout programs, despite a pledge by Prime Minister Alexis Tsipas' government to renege on several key commitments made to lenders.

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Tsipras is due to meet in Athens Friday with eurogroup chairman Jeroen Dijsselbloem following warnings from European Union finance officials that Greece should stick with its commitments.

Tsipras' Syriza party says it will not move ahead with several planned privatization projects or aim for budget surpluses required for national debt repayment.