The Greek parliament adopted on Saturday in the morning, the latest government proposal of agreement with international lenders, thereby accepting painful for the Greeks reforms and the numerous cuts in exchange for aid package of € 53.5 billion.
The Greek parliament approved a government proposal for an agreement with creditors
ZR. CNN Newsource / x-news
O h. 15 on Saturday, Eurogroup ministers are to meet in Brussels, on the basis of opinions and recommendations of experts creditors to Greece to decide whether negotiations can begin the new scheme. A positive decision will open the way also to grant Greece a bridge loan to cover current liabilities.
If ministers reject proposals Athens either does not reach consensus on the launch of talks on a scheme that will convene on Sunday summit of euro zone and the whole EU. The leaders take a final attempt to reach a compromise, and in case of failure examine the consequences of the insolvency of Greece, including the possibility of providing humanitarian assistance to that State.
EC, ECB and IMF welcomed the reforms and savings plan presented by Athens
In the opinion of creditors of Greece (European Commission, ECB and IMF) presented by Athens and savings reform proposals constitute a basis for negotiations on granting financial aid to the country – said on Saturday, Reuters, citing a source in the EU.
“The three institutions have made a first joint assessment of the reform proposals presented by Greece on Thursday evening. Consider them under certain conditions as a basis for negotiations on the program within the EMS (European Stability Mechanism)” – quoted by Reuters said the EU official.
The positive decision of the ministers of the euro will open the way for granting Greece a bridge loan to cover current liabilities. Greece is in arrears with the repayment of the IMF loan installment of € 1.55 billion, and on July 20 the ECB has to repay 3.5 billion euros.
What to agree Greece
The numbering 13 pages document, which is called “Priority actions and commitments”, Greece agreed to implement almost all the measures, which demanded its creditors on 26 June. Then, Athens rejected these demands and announced that they will organize a referendum.
Athens proposed, among others, VAT increase, reforming pensions and public administration.
What Greece expects from creditors
Now the Prime Minister of Greece in exchange for reforms demands much more than in the previous month. The head of government wants to restructure Greek debt, as well as 53.5 billion euros to cover the liabilities by the end of June 2018.
positive decision opens the way for granting Greece a bridge loan to cover current liabilities. Greece is in arrears with the repayment of the IMF loan installment of € 1.55 billion, and on July 20 the ECB has to repay 3.5 billion euros.
On Saturday, the morning parliament in Athens approved the reform plan presented to creditors.
The Greek parliament adopted on Saturday in the morning, the latest government proposal of agreement with international lenders, thereby accepting painful for the Greeks reforms and the numerous cuts in exchange for aid package of € 53.5 billion.
The stormy debate in the Greek parliament on proposals agreement that Prime Minister Alexis Cipras presented to creditors of Greece (these are: the European Central Bank, the International Monetary Fund, European Commission) lasted a few hours.
Finally, the leftist government’s proposal Ciprasa agreement with creditors to keep Greece in the monetary union gained majority in the 300-seat parliament, even though some members of the ruling Syrizy voted against, abstained or did not come to a vote.
in favor of the government’s reform package and a savings of 251 Greek MPs were in favor, 32 against and 8 abstentions.
Cipras after the victorious vote for himself said that the decision of parliament gives him a strong mandate to conclude negotiations with international creditors.
Cipras: the adoption of a package of painful cuts will rescue Greece and remain in the euro zone
Cipras Earlier, speaking late at night during a debate in the parliament argued that his government presented by the difficult reforms and painful cuts is the only chance for Greece to receive a new bailout package that will protect the country from insolvency and exit from the euro zone.
As the , is aware that the proposed savings are contrary to election promises Syrizy and its program, but – as stated – the latest proposal involves an agreement with creditors to run such funds to help the Greek economy stand on its feet and recover from the crisis, if they are approved by the the lenders.
PAP, IAR, jk
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