Greece is running out of time to avoid becoming the first euronation to default after talks with lenders stalled ahead of a March20 bond payment that will cost 14.5 billion euros ($18 billion) thecountry doesn't have.

Prime Minister Lucas Papademos is due to meet tomorrow with agroup representing private Greek bondholders after a five-day breakto discuss forgiving at least half of the nation's debt in the euroarea's first sovereign restructuring. Greece's official creditorsbegin talks Jan. 20 on spending curbs and budget cuts that willdetermine whether to disburse additional aid. Edward Parker, amanaging director at Fitch Ratings in London, said today Greece isunlikely to make next month's bond payment.

“The next few weeks will be the most difficult in the Greekprogram,” said Athanasios Vamvakidis, a foreign-exchange strategistat Bank of America Corp. in London. “All this needs to be completedby mid-March to avoid a disorderly default. Not an impossible task,but clearly very challenging with very much at stake.”