General Motors will discuss making further investments at its European unit Opel, a person familiar with the matter said on Monday.

The board of directors at the U.S. parent company will discuss possible investments late Monday following demands by German politicians and labor representatives for more spending for Opel.

GM is asking European countries to help restructure Opel and is demanding 2.7 billion euros ($3.7 billion) of aid toward a 3.3 billion euros revamp for the European arm.

Germany alone is being asked for 1.5 billion in loans or loan guarantees, but the request has met with resistance.

Opel Chief Executive Nick Reilly told Reuters Insider TV that he hopes to get a lot further with the German government on talks about restructuring aid.

A General Motors representative could not immediately be reached for comment.

For its part, GM has counted a 600 million euro loan repayment as a contribution toward restructuring. The payment was used to redeem a German government bridge loan and regain full control over Opel.

General Motors also advanced another 650 million euros to Opel for bills that GM would have first needed to pay to its European operations in April and July for engineering work.

Relations between General Motors and the German government have been frosty since GM's board shelved a deal in November to sell a majority stake in Opel to Canadian auto supplier Magna International .

The Magna deal had been backed by 4.5 billion euros in German taxpayer aid.

(Reporting by Angelika Gruber writing by Edward Taylor, editing by Matthew Lewis)

Germany General motors Investment