Greek referendum closed doors negotiations – The Economist

The Eurogroup chairman Jeroen Dijsselbloem said he was “negatively surprised” by Greece’s decision to hold a referendum last proposal of its creditors, “close the door” to further negotiations.

The Eurogroup chairman Jeroen Dijsselbloem said he was “negatively surprised” by Greece’s decision to hold a referendum the latest proposal from creditors, which “closes the door “to further negotiations.

” I am very negatively surprised by the decision of the Greek government, which has apparently rejected the latest proposal by the three institutions (lenders) and, on a negative basis, Parliament proposed a referendum , again with a negative advice to the Greek people, “he said.

” It is a sad decision for Greece because he has closed the door to further talks, but the door is still open in my mind, “he added, come to a special meeting of finance ministers of the euro area in which it is expected to end four months of negotiations on the program of Greek rescue.

During the meeting, the other 18 partners monetary union intended to “hear what the Greek minister says,” Yanis Varoufakis, and “talk about the future consequences” of the eventual agreement, Dijsselbloem said.

Varoufakis entered the meeting without giving statements to the press.

Meanwhile, the director of the International Monetary Fund (IMF), Christine Lagarde, also invited to the meeting, defended his institution’s recent accusations of intransigence on the part of Athens.

“Together with the other institutions (the European Central Bank and the European Commission), have always shown flexibility to adjust to the new political and economic situations in Greece,” he said.

Lagarde said the aim of the measures proposed by the three institutions is to “restore economic stability in Greece and restore independence, as was the case in Ireland and Portugal,” two countries also benefit from international financial assistance programs in the past.

“To achieve these objectives, we need very significant structural reforms by the Greek authorities to make the country more competitive and allow growth and job creation, not social imbalance,” he argued.

Greek Prime Minister Alexis Tsipras criticized the latest proposal of international creditors in an address to the nation on Friday night.

According to the leader of the leftist Syriza, the offer to extend the program until November financial assistance to Greece and provide the country 12,000 million euros (13.397 million dollars) is conditional on reforms “clearly violate European standards, the basic right to work, equality and dignity.”

Tsipras said prove that “the objective of some of our partners and institutions is not to reach a workable agreement for all parties, but possibly the humiliation of an entire population”.

Athens rejects new cuts in pensions and wages and refusing to raise taxes on food, energy, water and medicine.

As an alternative, proposed increases in taxes on luxury goods, the creation of a special tax on corporate income high and increasing of contributions to the pension system.

However, lenders credited that such measures would hurt the already weak Greek competitiveness, which would jeopardize economic growth.

Without agreement on the bailout program, which expires on June 30, Greece could go into default and be forced out of the euro area.

ERP