Tsipras improves its latest offer to avoid a Greek exit from the … – Financial Journal

Expansion, Spain

The Greek Government sent last night to its European partners a proposal for reforms that closely resembles the last time these had been put on him Table Friday June 26, before he decided to hold a referendum. The offer improved on some points which Athens made on June 30, the day the second bailout expired, but it remains to be seen whether it is sufficient for the Troika (European Commission, IMF and ECB) and the Eurogroup of finance ministers the euro zone.

The prime minister, Alexis Tsipras, aims to bring Parliament today to seek the support of the Hellenes deputies. The goal: to regain the confidence of creditors and seal a deal by Sunday to avoid a Greek exit from the euro. The paradox: the proposal is rather like that the Greek people overwhelmingly rejected (61% / 39%) in the consultation of Sunday July 5 and makes no mention of the restructuring of Greek debt, one of his horses battle.

The technicians today Troika discussed these proposals to see whether they are sufficient to facilitate rescue Greece has asked for the next three years and that the IMF estimates at least 50,000 million euros . Once done the analysis are the ministers of Economy and Finance of the euro zone which should give the nod on Saturday. If there is no agreement, the Heads of State and Government of the EU will meet on Sunday to set the stage for a bank collapse in Greece would lead the country to issue a parallel currency.

Before the reception of proposals, the tone in Brussels was more optimistic than earlier in the week. “If you ask me Monday, I tell you Grexit, but now I am more optimistic,” he said yesterday at a community EXPANSION source involved in the negotiations. The key, according to this source, is that Greece offered a proposal “very good to make it impossible for Germany to say ‘no’”.

And that is what is seen. The proposal yesterday sent the Greek Government was very similar to what he called the troika on Friday 26, Tsipras and forced to cross many of their red lines, both pension and tax, and labor market reform. But Angela Merkel, German chancellor, warned on Tuesday that Greece’s new offer would have to go “beyond” what was asked then. At that time, there was talk of an extension of a bailout fund to Greece with 16,000 million over the next five months and now are being considered 50,000 and even 60,000 million over the next three years.

But Tsipras also received some gesture from the creditor side. While trying to convince yesterday afternoon at his most radical ministers of the need to reach an agreement from Brussels they began to soften the tone in one of the most sensitive points of negotiation: the debt restructuring

<. p> Donald Tusk, President of the European Council was the one who was more conciliatory: “The realistic proposal for Greece will have to be matched by another equally realistic creditors on debt sustainability”. Since the French Government also sent positive signals in this regard and even Wolfgang Schaeuble, Germany’s finance minister, acknowledged not only that Greece needed a debt restructuring, but only contemplate lengthening maturities and lower interest.

But to proceed with such action, you need two things: certify that the reforms are sufficiently ambitious and Tsipras regain the trust of its partners. And Schäuble and gave an idea yesterday. Implement reforms before the agreement: “Let him do what would gain an incredible amount of confidence.”

<- Related Items - <- Banners below -> <- - End Banners below!>! >