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Troika – Greece: struggle to avoid €8.1 billion bailout tranche coming in …tranches

Representatives of Greece’s lenders – the “Troika” – are back in Athens and due to meet with finance minister Yiannis Stournaras and other ministers in charge of the upcoming ‘reforms’ – when ‘reforms’ are translated into cuts in public spending and privatization of state assets. New and additional austerity measures not excluded.

Things do not look good. Greek media reports that the Troika will insist on spending cuts at National Health Care system EOPYY,  cuts in tax breaks, continuation of ’emergency’ and higher property taxes and even a new tax (levy) for companies: 2 per thousand to be applied to companies with at least one self-employed. The hot issue of civil servants.

The target of 2,000 lay-offs set for May 2013 was reached in June with the sudden and unpsychological shutdown of public broadcaster ERT. Three weeks later, Greeks are still deprived of public radio and television programs.

All these upcoming cuts and tax hikes are in order to fill up part of the revenues ‘hole’ for the years 2013-2014.

According to the draft document seen by Kathimerini daily, unspecified new measures may have to be taken if authorities fail to collect adequate revenue from outstanding debts to the state and fail to plug a funding gap for this year of just over 1 billion euros, chiefly attributed to the debts of the country’s main healthcare provider, EOPYY.

One potential method of narrowing the funding gap likely to be proposed by troika officials is the payment of the emergency property tax for 2013 in four instalments rather than five. Such a move would narrow the funding gap for this year by an estimated 400 million euros, troika officials are expected to argue.

Another thorny issue expected to dominate talks is the troika’s demand for the induction of 12,500 civil servants into a so-called mobility scheme, in which the employees will receive a reduced wage for a year before a status review. (ekathimerini)

The Troika is to meet Stournaras on Monday afternoon and the other ministers tomorrow Thursday. What they will agree upon it will directly being felt by my already empty pocket. And they will agree. Just in hope the bailout tranche of 8.1 billion euro will not be given in tranches but all the money will come in one paycheck. How will this money be used? To pay interest rates and other obligations. No a single cent will go to the average Greek., who is just asked to payback the famous bailouts.

What Greek ministers or government heralds as “Greek taxpayer cannot afford more taxes” are empty words. At the end, all governments since 2010 have bowed to the honorable men of the Troika.

While development and growth are going by with galloping speed the usual idiots will have to carry again the weight of filling the gaps.

We’ve seen this film before. Every time the Troika comes visiting Athens: the government is always slow and late, the Troika demands new measures. Always on the cost of the average Greek. While those fortunate with a fortune use and have 1001 ways to escape the financial burdens.

PS Silence is golden… as we have to pay a load of several taxes until the end of the year – income tax included.

BTW: I’m not allowed to use the F-word due to my good manners.



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  1. Elizabeth Cradick

    Really interesting interview – perhaps the best suggestions of what Greece should do , at the end of the interview…

  2. At the end, all governments since 2010 have bowed to the honorable men of the Troika.

    No they have not.
    According to the original memorandum of 3 years ago, by now almost 150.000 civil servants should have been fired. They are not.
    All government agencies who are empty or doing just nothing should have been closed. They are not.
    A whole range of occupations should have been opened up. They are not. Tax collection should have been streamlined and corruption tackled. They are not.
    The judicial system, that blocks every single measure and is stalling endlessly any attempt of tackling graft (like I just again read about municipal criminals in Athens which process are postponed time and again) should have been reorganized and streamlined. It is not.
    And this list goes on and on and on and on…
    The only measures that have been taken were aimed at easy targets And all to protect the nomenklatura. As the chance of contagion is now almost nil and most financial institutions outside Greece have fenced in their losses (at the huge expense of the citizens in those country I hasten to add) it is high time to stop this farce and stop funding the Greek nomenklatura so it will die. Yes it will bring even more hardship to those who are scr***d time and again now. But at least they then stand a chance of that ending in the not so far future. There is at least a chance that the vultures will lose their stranglehold on this beautiful country and so many of it’s people…
    And Chatzidakis seems to agree with me? 😉