In an interview given to the German public broadcaster Deutsche Welle, and distributed in Greece, Varufakis referred to the draft agreement presented by the Greek government to the creditor institutions: the European Commission (EC), the European Central Bank (ECB) and the International Monetary Fund (IMF).
The minister said the 47-page proposal seeks to reach a pact to overcome “once and for all the crisis.”
But stressed that not will sign a plan is not feasible and means the continuation of the policies implemented by previous governments that “made suggestions and promises knowing there’s going to be able to fulfill.”
Varoufakis described the current talks as “a renegotiation of a loan of five years was not sustainable “and considered that the proposal submitted by creditors is that done” when you do not want an agreement, “according to EFE collected.
This week, the Greek Prime Minister himself, Alexis Tsipras, considered unacceptable by the institutions proposed at a meeting on Wednesday with President of the EC, Jean-Claude Juncker plan.
Among the unpopular measures required to release the third tranche of 240,000 million include an increase in VAT and cuts to retirees.
Even “could imagine” after “all that we negotiated in three months” a politician might propose to Greece to reform the VAT 10% increase in electricity rates, and eliminating subsidies for lower-income retirees, Tsipras said.
The leader of Syriza called “unpleasant surprise” the “illogical” proposed lending agencies even considered the possibility of agreeing is “closer than ever”.
For a given yesterday in Parliament speech, where he went to report on the progress of negotiations, Tsipras insisted that his government wants a “comprehensive solution” that also resolves the question of debt and said the Greek proposal is a “realistic basis” to reach an agreement.
This week Greece decided to unify the four payments to do in June the IMF and pay it all together to make ends meet, so it will save time to continue negotiating receiving assistance funds its international creditors.
On this point, Varufakis recalled that Athens has shown in the last four months it has enough to pay its obligations liquidity but that this “can not always continue.”
In addition, several members of government said yesterday that the decision not to pay was political, since it had the money.
When asked about why Greece does not want to implement new reforms as did Spain, Portugal and Ireland, Varufakis said that the measures implemented by Athens have been much tougher.
He recalled that while other countries have “lost 1%, 2% or 3% of GDP, Greece has lost 25%” for so you can not have the same rules for everyone.
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