LIFE & CULTURE
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Greece Intends To Reject Bailout Extension
Despite pressure from eurozone officials to agree to a further extension to the existing bailout, the Greek government insisted Friday that it would not accept its partners’ offer but would instead propose the terms of a bridging agreement to see it through the next few months. An extra Eurogroup meeting is due on Wednesday, when Finance Minister Yanis Varoufakis will set out to Greece’s partners how the government envisages covering its funding needs over the next few months until a more comprehensive agreement between all parties is reached.
Government sources were adamant Friday that Greece would not accept the outstanding 7.2-billion-euro bailout tranche, which would require the SYRIZA-led coalition to complete a set of structural reforms.
Athens’s plan is based around being given permission to issue more treasury bills after reaching the 15-billion-euro limit it had agreed with the troika. It also wants to receive 1.9 billion euros from profits the European Central Bank made as part of its SMP program, which involved purchasing Greek bonds on the secondary market. This 1.9 billion is included in the 7.2-billion-euro installment.
The indications from Brussels Friday were that eurozone officials would not accept these proposals. It is thought that Varoufakis will present a commitment by the new Greek government not to take any unilateral action while the bridging deal is in place, to commit to fiscal targets and structural reforms proposed by Athens.
Varoufakis held a lengthy meeting Friday with Prime Minister Alexis Tsipras and Deputy Prime Minister Yiannis Dragasakis.
To read more, please visit ekathimerini.com
Tsipras: We Will Find A Solution Within EU Rules
Greece respects European Union rules and will find a solution to its economic problems within the framework of EU law, Greek Prime Minister Alexis Tsipras said on Wednesday, adding there was no agreement yet, but talks were going in the right direction.
Tsipras and his Syriza party won an election in January on promises of negotiating a debt write-off, the reversal of some reforms and ending fiscal consolidation -- provoking a stand-off with its international creditors like the euro zone.
"I'm very optimistic that we will try to do our best in order to find a common, viable and mutually acceptable solution for our common future," Tsipras said on his first visit to Brussels and after talks with European Commission President Jean-Claude Juncker, European Council President Donald Tusk and European Parliament President Martin Schulz.
"Our goal is to respect the people's sovereignty in Greece and the clear mandate of our people. At the same time we respect the rules of the European Union. We want to recorrect this framework, not to smash this framework and we believe that in this framework we could find a common viable solution," he said.
To read more, please visit thetoc.gr/eng
Govt Preparing For Critical European Summit Next Week
The next few days leading up to the European Summit scheduled for the 12th of February are going to be critical for Prime Minister Alexis Tsipras, whose main priorities will be to manage expectations and preserve the peace in Greece and Europe.
An unnamed government official told To Vima on Monday evening that “we may see smoked for the Commission’s building on Wednesday”, in reference to Mr. Tsipras’ meeting with Jean-Claude Juncker in Brussels on the 4th of February. The Greek Premier is then scheduled to meet French President Francois Hollande, while Finance Minister Yanis Varoufakis is rumored to see Wolfgang Schäuble next week, ahead of the Summit.
The goals are clear, to establish a channel of communication with Paris, Rome and Berlin and then to define the negotiation framework between Athens and the Commission. After Mr. Tsipras discusses his police statements next week, he will hope to attend the Summit in a friendly, rather than hostile, environment.
Meanwhile the German Chancellor Angela Merkel will be meeting with US President Barack Obama early next week, indicating that there will be a wealth of behind-the-scenes debates and developments.
To read more, please visit tovima.gr
Tsipras Rules Out Aid From Russia
Tsipras and his finance minister Yanis Varoufakis are touring European capitals this week in a diplomatic offensive to replace Greece's bailout accord with the European Union, European Central Bank and International Monetary Fund "Troika".
After a tumultuous first week during which his left-leaning government made clear it intends to keep campaign promises to ditch the tough austerity conditions imposed under its existing bailout, the emphasis this week appears to be on maintaining that a deal is still possible.
"We are in substantial negotiations with our partners in Europe and those that have lent to us. We have obligations towards them," Tsipras said at a news conference in Cyprus during his first foreign visit as prime minister.
To read more, please visit thetoc.gr/eng
Varoufakis: 'Europe Comes First'
The economist-turned-finance minister seeking to renegotiate Greece's huge debt obligations says his priority is the well-being of all Europeans and has ruled out accepting more bailout cash. After talks with his French counterpart, Yanis Varoufakis said a new debt deal was needed within months.
Michel Sapin said France was ready to help Greece settle with its creditors.
Mr Varoufakis is in London on Monday for similar talks with the UK Chancellor George Osborne.
Ahead of the meeting, Mr Osborne said that he welcomed the opportunity to "discuss face to face with Yanis Varoufakis the stability of the European economy and how to boost its growth".
Mr Varoufakis is to travel to Rome next on his trip around Europe's capitals and financial hubs.
His comments follow remarks on Saturday by new Greek PM Alexis Tsipras, who said he was confident Greece could reach a deal with creditors.
To read more, please visit bbc.com
Obama Says Greece Needs Growth, Not More Austerity
As representatives of the new Greek government begin a round of visits to eurozone countries, President Barack Obama has suggested that Greece will not be able to recover from its economic crisis unless there is a let up in austerity policies. “You cannot keep on squeezing countries that are in the midst of depression,” when CNN’s Fareed Zakaria asked him about the case of Greece.
“At some point, there has to be a growth strategy in order to pay off their debts and eliminate some of their deficits.
“There is no doubt that the economy of Greece was in dire need of reform,” he said in the interview broadcast on Sunday. “Tax collection was famously terrible. In order for Greece to compete in the world markets, they had to initiate a series of changes.”
However, the US president underlined that it is very difficult to carry out reforms when a country’s economy has contracted dramatically. Greece saw almost a quarter of its GDP disappear between 2008 and 2014.
“It’s very hard to initiate those changes if people’s standards of living are dropping by 25 percent,” he said. “Over time, the political system and society cannot sustain it.”
Obama also made reference to the compromise that would be needed by the SYRIZA-led coalition and the eurozone to reach a deal that would keep Greece in the single currency.
To read more, please visit ekathimerini.com
Tsipras And Schulz Agree That More Time Is Necessary
The first meeting between Prime Minister Alexis Tsipras and the President of European Parliament Martin Schulz took place in Athens on Thursday in a tense atmosphere, after the spat over the imposition of further sanctions against Russia.
During the two-hour meeting, which Mr. Schulz called “tiring”, there was some tension, however as the European official noted in the subsequent press conference, he was pleased with Mr. Tsipras intention to submit proposals to discuss.
Regarding the renegotiation which the Greek government is aiming for, both sides came to some agreement on tax evasion and tackling corruption, although it should be noted that Mr. Schulz does not have authority on this matter. Nevertheless, there was a mutual understanding that further time was necessary for the deliberation to begin.
The three main points of discussion were tackling tax evasion, transparency, the efficiency of public administration and the introduction of tax system based on an wealth list; the Greek government’s willingness to work towards primarily balanced budgets, with the downward revision of primary surplus goals up to 2020; funding the country’s productive reconstruction through a new investment deal, NSRF and the exclusion of public investment from the fiscal deficit target.
To read more, please visit tovima.gr/en
EU, Germany Warn Greece Over Debt Reduction Ambitions
The European Union and Germany warned Greece's new left-wing government Thursday that there was little support for a reduction in its massive debts, before it holds the first talks with its eurozone partners. Prime Minister Alexis Tsipras will on Friday meet Jeroen Dijsselbloem, the current head of the eurozone group of finance ministers, which Athens said would mark the start of Greece's negotiations on revising the conditions of its bailout deal.
Ahead of the meeting, Greek bank stocks rebounded Thursday after plunging the day before on concerns about the dramatic first moves of Tsipras’s new administration.
The government has begun to roll back years of austerity measures demanded by the EU and the International Monetary Fund in return for a 240-billion-euro ($269 billion) bailout granted to avoid a financial meltdown in 2010, and says it will negotiate to halve the debt.
But European Commission chief Jean-Claude Juncker said a reduction of the 315 billion euro debt linked to the bailout “is not on the radar.”
“I don’t think there's a majority in the Eurogroup... for a reduction of the debt,” he told Germany’s ARD television, referring to the eurozones finance ministers.
To read more, please visit ekathimerini.com
Varoufakis: “Greece Is Committed To Staying In The Eurozone”
Shortly after his appointment as the new Minister of Finances, Yanis Varoufakis spoke to CNN on the new government’s intentions regarding negotiations with the European Union about debt relief.
Mr. Varoufakis noted that the intention is not to propose a “zero sum game”, bur rather to demonstrate that everyone comes out at a loss by the way that Europe has been handling the Greek crisis since 2010. The Finance Minister explained that Greece will propose a reform program that will ensure that Greece does not find itself in the situation it was in 2009 and 2010.
Regarding the Eurozone, Mr. Varoufakis stressed that Greece is committed to the Eurozone and pointed out that a potential departure would have major implications on not just Greece, but the Eurozone and global economy. The Minister of Finances underlined that the payment of debt must be associated to the rate of growth and that the official sector must participate in the debt restructure.
To read more, please visit tovima.gr/en
New SYRIZA - Independent Greeks Cabinet Announced
As was expected the economist Yanis Varoufakis was given the key position of Finance Minister. Another influential economist, Nikos Dragasakis was appointed Deputy Prime Minister while Giorgos Stathakis will head the ‘super ministry’ of Economy, Shipping and Tourism. Theodoros Dritsas will be a deputy minister in the same ministry.
Alexis Tsipras has reorganized the government, merging several ministries and creating new bodies, such as the Anti Corruption office to be led by Panos Nikoloudis.
The full cabinet:
Prime Minister - Alexis Tsipras
Deputy Prime Minister – Nikos Dragasakis
Minister of State: Nikos Pappas
Deputy Minister of State: Terence Quick
Parliamentary Speaker: Zoe Konstantopoulou
Minister of State to Coordinate Government Operations: Alekos Flambouris
Minister of State to Combat Corruption: Panagiotis Nikoloudis
Government Spokesperson: Gavril Sakellaridis
Ministry of Interior and Administrative Restructuring
Minister: Nikos Voutsis
Deputy Ministers:
- Giorgos Katrougalos (Administrative Restructuring)
- Yiannis Panousis (Protection of Citizens)
- Maria Kollia Tsaroucha (Macedonia / Thrace)
- Tasia Christodoulopoulou (Immigration Policy)
Ministry of Economy, Infrastructure, Shipping and Tourism
Minister: Giorgos Stathakis
Deputy Ministers:
- Theodoris Dritsas (Shipping)
- Elena Kountoura (Tourism)
- Christos Spirtzis (Infrastructure, transport and networks)
Ministry of Productive Reconstruction of the Environment and Energy
Minister: Panagiotis Lafazanis
Deputy Ministers:
- Yiannis Tsironis (Environment)
- Vangelis Apostolou (Agricultural Development)
- Panagiotis Sgouridis
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Ministry of Culture and Education
Minister: Aristeidis Baltas
Deputy Ministers:
- Nikos Xydakis (Culture)
- Tasos Kourakis (Education)
- Kostas Fotakis (Research and Innovation)
- Stavros Kontonis (Sports)
Ministry of Finance
Minister: Yanis Varoufakis
Deputy Ministers:
- Nadia Valavani
- Kostas Mardas
Ministry of Health and Social Security
Minister: Panagiotis Kouroublis
Deputy Ministers:
- Andreas Xanthos (Health)
- Dimitris Stratoulis (Social Security)
Ministry of Labour and Social Solidarity
Minister: Panos Scourletis
Deputy Ministers:
- Rania Antonopoulou (Unemployment)
- Theano Fotiou
To read more, please visit thetoc.gr/eng
By Pavlos Zafiropoulos