International lenders failed to bridge differences on how to reduce Athens' burgeoning debt levels, reports Financial Times.
According to officials involved in negotiations this week, lenders can't agree on how much debt relief Greece needs, as well as on who will bear the losses from lower debt repayments.
Since the country is perilously close to defaulting on a €5 billion debt payment due next week, officials had hoped to finalize a new program that would extend the country's rescue to 2016. Read more.
In related news, a European Union official says he expects a crucial report on Greece's budget reforms and debt sustainability to be delivered by Monday.
Greek officials say the country will run out of money on November 16. But a new bailout disbursement can't be approved without a report from the troika of international lenders—the International Monetary Fund, the European Central Bank, and the European Commission.
The parliaments of several Eurozone countries will also have to approve the disbursement, meaning a second finance ministers' meeting will be needed, the official says.
"There will be no default," the official said.