Bargaining for fewer measures with FEIR as a weapon

The new meeting between Finance Minister Yannis Stournaras and the Troika heads lasted nearly three hours.

According to a member of the Ministry, the measures of 2 billion euros, which have been finalized and covered a part of the financial gap of 4 billion, came from cuts in Health, Defense and local authorities. 

"There is still the tough core" he told reporters, meaning the extra measures of 2 billion euros that are being examined and will apply to salaries and pensions.

According to information, FEIR (Foundation for Economic and Industrial Research) scientific advisor Nick Zonzilos presented a report at the meeting in order to support the Greek side’s view that there need not be any further cuts since a moderate increase in private investments, along with privatizations, can contribute decisively to covering the lost national income until 2020 and reducing the GDP debt ratio to below 120%.

To achieve this, private investments (excluding the construction sector) must have reached 21% of the GDP by 2019-2020 (from about 9% this year). Such a development would contribute a 4% growth of the GDP.

According to the same source, however, raising the retirement age to 67 "remains on the table" as an emergency solution.