Foreign Affairs
Related: About this forumGreek Syriza government and European Union finalise more brutal austerity
Greeces Syriza-led government has reportedly reached an informal agreement with the European Commission (EC) on imposing further austerity measures. An agreement is yet to be officially confirmed by the ECthe executive arm of the European Union (EU)or Greece.
Greek daily Kathemerini announced Friday, [T]he framework for an agreement could be presented at the next scheduled Eurogroup meeting on April 7, in order to allow officials to draft all the measures that Greek MPs must legislate by the next scheduled Eurogroup on May 22
Various media reported this week that measures agreed include further crippling cuts to the pensions of 900,000 retirees, worth 1 percent of GDP. Another austerity measure is the reduction of the tax-free threshold to 5,900 from the current 8,636. This will result in many more poorly paid workers, earning as little as 500 a month, being forced to pay tax. The minimum wage in Greece remains at just 683 per month, as Syriza reneged on its pledge to restore it to what is a still paltry figure of 751.
The tax increases are worth a further 1 percent of GDP and, as with the pension cut revenue, will go towards paying off Greeces near 300 billion debt to global financial institutions.
Read more: https://www.wsws.org/en/articles/2017/04/01/gree-a01.html
DetlefK
(16,423 posts)* All financial reports Greece sent to the ECB, including their application to join the Euro, were cooked. Not a single report from the years 2000-2009 contained accurate numbers. Every greek government knew that.
* On top of that, government waste was through the roof. Everybody working for the government knew that.
* And on top of that, corruption was a part of greek everyday-culture. Literally every single Greek knew that.
So PLEASE have some empathy when the EU reacts with hesitance to greek demands for more money.
OnDoutside
(19,956 posts)return for what turned out to be empty promises that they'd properly restructure their economy.
OnDoutside
(19,956 posts)see if they have the cojones to stick to it.