Ainhoa Murga
Greece awoke from his sleep yesterday anti austerity. The eurozone partners and international creditors dispatched the list of reforms submitted by the Greek government to begin the process allowing extending the current bailout program, which expires on Saturday for four months.
Athens no longer calls for debt relief; either an exchange. A month after winning the elections, the government of Alexis Tsipras ensures that the program will meet once despised and assume the debt in full and in a timely manner.
also ends the troika (European Commission, European Central Bank and International Monetary Fund) as intended, as it ensures that not adopt unilateral measures to reverse the approved reforms or that would compromise the objectives of the program without the agreement of the institutions.
The plan removes key measures advocated during the election campaign, though not cut pensions and salaries of officials, no VAT rises and includes measures to address the humanitarian crisis. Neither yield in its ambition to increase the minimum wage, but will no longer be immediate or unilateral, but will consult with partners. Yes backtracks regarding privatization. It will not touch the completed or auctioned, but the uninitiated will be revised to improve conditions and seek maximum benefit to the state.
No specific figures, Athens says it will reform the structure of VAT to fight against tax evasion and fraud, tightening control over taxation of large fortunes. It will also introduce austerity measures and cost control “across the board”. As for the banks, will use European funds to stabilize the financial sector and regulate the default.
In response, European stock markets closed with maximum seven years driven by rising stock market Athens, which advanced 9.81%, driven by the banking sector.
The lesson of Athens
what for many is undoubtedly a “complete surrender” of Greece to the strength of the eurozone, others see “an encounter with reality”. “Membership in EMU limited sovereignty, especially in a debtor country under a bailout,” said researcher DF Real Instituto Elcano, Andrés Ortega, from Madrid. “But the Eurogroup has recognized the government of Tsipras can make some changes in social policy, even within the budgetary limits.”
That
Tsipras has had to lower its objectives during the negotiation is “perfectly logical,” said Fernando Gutierrez, manager of Studies of Solchaga & amp; Recio. In his opinion, SYRIZA would have found “a strong European wall anticipated” and negotiation has shown that “a new government can legitimately seek renegotiation, but without neglecting the commitments previously adopted”. Lesson serves as a “warning” to those parties that can ascend to power with promises to voters as he did SYRIZA.
Among the achievements
Tsipras will emphasize to the Greek Parliament is the relative margin to implement fiscal policies and the possibility of revising the primary surplus target to adapt to the situation in the country.
Baseline
The European Commission gave the first push to the Greek plan to consider it “complete enough to be a valid starting point for the successful completion of the review.” “It means we have the details of these reforms nor that we approve, means that the focus is serious enough to start the discussion,” said European Commissioner for Economic Affairs, Pierre Moscovici.
The amplitude of the Greek plan with a strategic ambiguity to avoid encouraging a rebellion within SYRIZA, found more resistance in the IMF. The Managing Director of the agency, Christine Lagarde, said that the document is not “very specific” and provide guarantees on key reforms in pensions, taxes and privatizations are needed. The Eurogroup also showed their reserves and hoped definition “deeper” of this “first” list of reforms
The approval of creditors to activate the next step. Review in the parliaments of Germany, Holland, Finland and Slovakia to assess whether the extension of the rescue is authorized.
approval, however, does not mean that Greece will receive tranche funds immediately Rescue slope. To this end the authorization of the Eurogroup, which only come if the troika considers that Athens is progressing in committed action is required. Greece depends on the success of the review in April, which has been pending for months to receive funding much needed
valli framework. Tsipras Plan “is very close to total surrender “
– A view from the list of commitments, do you think the Greek government has completely surrendered in negotiations with creditors
– Yes, (the Greeks commitments) are very close to a total surrender
-. What has been the key element Tsipras ceded to their requests
– Your negotiating position was weak from the start because the risk of systemic damage to the rest of the eurozone if Greece leaving the euro had relatively content. Furthermore, justice with other European taxpayers implies that community governance can not be blackmailed by Greece
-. What has been achieved in this negotiation Greece
– has achieved some margin to handle fiscal consolidation in accordance with their own policies
-. Is it still probably a Greek exit from the euro
– Yes, but unlikely
– How does this negotiation to other parties with similar claims to Syriza as we in Spain
-. I think back to reality
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