Samaras’ concern about State budget and real economy
29.03.2013
11:06
The topics of yesterday's meeting of Antonis Samaras with the economic team were the preparation for the next round of talks with troika and the impact of the Cyprus crisis on the Hellenic real economy.
The topics of yesterday's meeting of Antonis Samaras with the economic team were the preparation for the next round of talks with troika and the impact of the Cyprus crisis on the Hellenic real economy.
There are two estimations. According to the optimistic one, troika will be conciliatory so as not to exacerbate the political climate after the lack of solution to the Cyprus problem and to avoid causing further social unrest. The most optimistic say the next visit could even end within 1 to 2 days. The pessimistic estimation predicts that troika will be strict, wanting to show that no easing in the politics of austerity will be tolerated. Moreover, Germany will want to confirm with Greece the message it sent to all direction in Cyprus’ case.
Today’s meeting of Bob Traa with Shipping minister Kostas Mousouroulis concerning the troika request for signing contracts in shipping business will be indicative of troika’s moods. If troika wishes to exhaust its austerity it will raise the issue of shortfalls in revenue collection, health funds and municipal deficits that are likely to trigger the clause of payment by citizens.
The layoffs in the public sector and the collection of the property fee remain major problems. The Greek government is keen to unlock the dismissal of perjury employees while supporting the reform of Antonis Manitakis. For the hike issue, troika’s view is that it should be extended for 2013, which has been accepted by Finance Minister Yannis Stournaras and Samaras, but Fotis Kouvelis and Evangelos Venizelos are against it.
A first assessment of the consequences of the Cyprus crisis was made in yesterday's meeting, with government officials saying it is still early as the impact on the Greek economy has not been seen yet. However, they expressed their fears there will be a prevalence of negative sentiments which will affect the economic recovery.
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