White House sees good progress on Greece

WASHINGTON (Reuters) - The Obama administration is watching the situation surrounding Greece's debt closely and supports Europe's efforts to address the problem, White House economic adviser Christina Romer said on Thursday.

"We are certainly watching very closely and I think we have a sense that we are making good progress," Romer told Reuters Insider in an interview.

Asked whether the administration was pleased with Europe's moves to help Greece, Romer said the United States supported any efforts to create more stability and security.

"We all are interested in the countries of the world remaining stable and economies remaining strong," Romer said.

"And so, yes, certainly, anything that can be done to make things more stable, more secure, that's something we're certainly supportive of."

European leaders reached a deal to provide aid to Greece, European Union President Herman Van Rompuy said earlier on Thursday, in an unprecedented move to prevent a broader crisis in the 16-nation bloc that shares the euro.

The aid would amount to the first bailout of a euro zone member since the currency was created 11 years ago.

Athens needs to borrow 53 billion euros ($75 billion) this year to cover its deficit and refinance debts. Its debt pile is expected to grow to more than 290 billion euros this year and the cost of servicing that debt has soared.

EU leaders are eager to prevent Greece's woes from spreading to other highly-indebted euro-zone members, which could plunge the currency areas into a bigger crisis that could have repercussions around the world.

(Editing by Vicki Allen)