The Eurogroup is over. Greece have in to the creditors’ demands: Pre-legislation of structural reforms that will be balanced with counter-measures and ‘no more austerity’. The so-called ‘technical teams’ of the institutions representatives are expected to return to Athens on Tuesday (Feb 28th) to continue talks aiming to conclude the second review of the Greek program.
The Greek government agreed to pre-legislate reforms for 2019 onwards on condition that ‘the fiscal balance will be completely neutral’.
Once in Athens, teams will discuss ‘a change in policy mix from 2019 onwards without further fiscal burden’.
The agreement was reached during a mini Eurogroup ahead the official meeting among Tsakalotos, Dijsselbloem, Moscovici, Regling, Thomsen and Velsulescu.
After the meeting Eurogroup head Jeroen Dijsselbloem said that institutions will work with the Greek authorities on structural reforms, tax system , pension reform and labor market regulation.
“We need to move away from austerity,” Dijsselbloem said.
How will there be no austerity when the tax base will be broadened, the pensions will undergo a further cut and mass lay-offs will be allowed and workers will be deprived of any labor right securing them a descent salary?
That’s a crucial question that neither Dijsselbloem nor Moscovici were able to answer without mumbling.
Moscovici: Greece has significantly over performed fiscal targets of 2016, primary surplus close to 2%.
Greek team: “No even one euro austerity!”
It is not clear whether the IMF will participate in the Greek program.
a tragedy – and many greeks continue to be willing partners in a farce that will go nowhere except further penury of the greek people…
I am not sure that there is much willingness, even of the idiots in the current government, or the bigger idiots of MD. It is more a lack of options, and complete lack of support from other eurozone countries that are in a similar, albeit slightly better, situation. But this lack of solidarity is an EU-wide mess, resulting from increasing nationalism and far right shittiness. Basically, all of the EU looks now as if it will go down the drain, much as it did in the late 1930s. War is the likely next phase…