Monday, March 30, 2015

Greece: Tsipras government reform shows list – SPIEGEL ONLINE

Little time? At the end of the text’s a summary.

In the Finance Ministries of the euro States outweighs the frustration on Monday. “Again, there were few concrete,” says a representative of a Member State to reform the list that Greek officials over the weekend spent hours negotiating with colleagues from the ministries of finance other euro countries. “The progress is incredibly slow.” Now the Greek Ministry of Finance has a part of the list made public, it negotiated in Brussels. It is obviously an attempt to counter the accusation, you hardly make concrete offers. Nearly 4.8 billion euros hopes the government of Prime Minister Alexis Tsipras from the privatization proceeds as indicated, and new taxes.

This is not according to insiders from the environment of the Greek government, however, to the full list. The property tax approximately by which the Greek government occupies a comparatively large amount of money, is not mentioned.

The currently known suggestions of the Greek Government as follows:

  • 1.5 billion euros wants Greece by privatization are taking 700 million less than originally planned. Moves Athens at the port of Piraeus. This will now be sold mostly to Chinese investors. The Frankfurt airport operator Fraport will take over 14 regional airports. The government also plans to sell a government-race betting company.
  • Nearly two billion euros is Athens looks to the fight against tax fraud and the driving in unpaid taxes . EUR 725 million the state wants to take over the tax amnesty for hidden assets abroad, 600 million euros to bring the already valid law allowing installment payments of tax due. 350 million to bring the fight against VAT fraud, EUR 250 million is expected from the curb rampant gasoline and cigarette smuggling.
  • The future tax revenues intended to nearly 800 million euros increased by the tax collector to be better equipped. This should bring 225 million euros. 270 million euros is hoped that as a result of a receipt lottery: You should bring Greeks to reclaim VAT receipts from dealers. Other, not further described tax law changes should bring 300 million euros.
  • For licenses for online bookmakers of the Greek government wants 200 million euros additionally taking. Additional licenses for private TV stations to flush even 350 million euros in the state treasury.

These proposals are not executed. This also lack details about the assumptions on which they are based. After all indicates the Athenian Treasury that it expects only 1.4 percent growth this year. Previous calculations were still pending from the double value.

In addition to the revenue the government wants Tsipras but also increase spending – and adopt social programs, the abolition of the donors had already agreed with the previous Conservative government. The reintroduction of the 13th month pension for ex-officials below the poverty line, they estimated at 600 million euros . A more social power for poor households would more 82 million euros cost.

“The overall framework must be right,” said Merkel

In principle, they do it: At the EU summit just over a week ago had a round to German Chancellor Angela Merkel (CDU) Tsipras conceded to replace action from the old aid package and additional money, such as for social spending – as long as they would be sufficient to finance. Finally had to “the overall framework right,” Merkel reiterated on Monday.

In any case, the new proposals delay the possible release of further aid money, because the representatives of donors must reckon with entirely new. Whether the proposals but actually bring the estimated revenue, examine the officials in Brussels and Athens now in the next few days. That being said, some diplomats also disrupt the fact that the Greek government wants to tap into additional money above all sources but makes no proposals for deeper structural reforms.

The accusation not to take long-term measures, Greece tries to counter with some announcements. So promises the government to limit early retirement and to guarantee the independence of the statistical office. More comprehensive proposals to redevelop the rigid labor market or the heavy losses pension system, but missing.

Easy Money does not bring in the Greek banks bad loans can also outsource the proposal a “bad bank”. Thus, the government wants to appear to regain access to the 10.9 billion euro, which has its bank rescue fund HFSF referred back to the European rescue fund EFSF in February. For this purpose, including Germany, an Act of Parliament would be in several euro countries needed.

Given these hurdles working in Athens, according to “Iefimerida” already working on a Plan B: If the suggestions in Brussels continues to be well received, to write to the Treasury already on a second list

. In summary: The Athens government released the list of reform proposals, on which it is negotiating with donors. It contains in bullet point form, especially measures to adopt higher taxes. Structural reforms and spending cuts appear practically non-existent.


No comments:

Post a Comment