European markets set for higher open as Greece fears ease

European markets are expected to open higher on Friday as concerns about Greece being forced out of the euro zone eased.

Greece's repayment of a 450 million euro ($480 million) loan from the International Monetary Fund helped lift Asian shares in morning trading on Friday, with Japan's Nikkei index rising above 20,000 for the first time in 15 years.

The repayment means that Greece can access further emergency lending for its banks. However, the embattled euro zone country is still trying to renegotiate its relationship with its creditors.

In China, consumer inflation stayed flat at 1.4 percent in March, but wholesale prices stayed in deflationary territory, signalling a favorable environment for further government stimulus.

Ahead of the U.K. election in May, polls on Thursday night gave a mixed picture, with one by YouGov for The Sun newspaper suggesting the Conservative Party had a one percentage point lead over the opposition Labour Party, while another, by Survation for the Daily Mirror, giving Labour a four point lead.

HSBC may be in focus after it emerged that the banking behemoth has been placed under formal criminal investigation in France over alleged past tax-related offences at its Swiss private bank, with a 1billion euro ($1.1 billion) bail set.