Galery

1

The government has to send to the lenders a package of measures and structural reforms as soon as possible. This is necessary in order for the negotiations that have been frozen since Wednesday to continue and for Greece to rely on the transfer of even a portion of the nonpaid tranches to be able to cover its financial requirements.

The government has to draw up a list that will specify the reforms and the financial measures. Chancellor Angela Merkel has made it clear that measures to achieve a primary budget surplus are required, citing the report of the Troika of 10 December, which evaluated the proposals of the previous government.

The letter from Minister of Finance Yanis Varoufakis of 24 February has to be specified as well. Yesterday the Minister said he expected the lenders’ list of what should happen. The representatives of the lenders yesterday worked on this list so as to be able to send it immediately. According to the information available, there will be a request to clarify the measures included in Varoufakis’ letter.

In order for the government to be better prepared, a meeting between Deputy Prime Minister Yannis Dragasakis and Yanis Varoufakis took place yesterday, which was attended by Minister of Economy George Statakis as well. The government has to clarify the following issues no later than the middle of next week:

1. Finance. It must determine the amount of this year’s financial deficit and the measures to be taken to cover it. The measures discussed include changes in VAT (such as increasing its rate for the so-called rich islands), keeping the single property tax but with slight changes in it, increasing the taxation of the "rich". In every case, the government has to decide on measures that are considered as very difficult.

2. Restructuring. The independence of the main office of state revenue is an issue on which the lenders insist. The government is favourable towards it too. In parallel, however, there must be changes in the payment of civil servants, in the public sector as a whole, and in the business environment. The reforms in the market for goods and services are ‘high’ on the agenda as well.

3. Privatisation. The government should proceed to privatisation of airports and the port of Piraeus. The case with the independent company for transmission of electricity is under consideration. It also has to specify how the Privatisation Agency will operate.

4. Insurance. The lenders require the following issues to be clarified: the reunification plan of insurance funds, the restriction of early retirement, the cancellation of taxes to third parties and the zero deficit clause that the government wants to eliminate.

5. Employment. The lenders require details with regard to the following issues: the reform in the collective bargaining framework in cooperation with the International Labour Organisation (ILO), such as the recovery of the Organisation for Mediation and Arbitration, wage increases for each 3 years of experience and the gradual return to the minimum wage of 751 euro.