Will Greece reform? – TFG Posts Update
The eurozone creditors are getting tired with the pace of Greek reforms. If agreed, billions in bailout loans could be advanced and this could save the country from bankruptcy. At the most recent and one of the shortest Brussels meeting, the creditors echoed earlier calls and asked the finance minister of Greece, Yannis Varoufakis for a realistic reform programme.
The bailout is headed by three institutions: the International Monetary Fund, European Commission and the European Central Bank to provide the estimated €240bn (£172bn) bailout.
The Greek prime minister Alexis Tsipras has previously agreed to extend the bailout by four months but this is on the basis of agreement to reforms by the end of April. The result of this will allow access to over €7bn of loans. However, Greece has been slow to put forward its reforms much to the annoyance of the creditors.
Eurozone meetings have been full of vague reforms. This has included an idea to have students reporting on tax evaders and reporting them to governmental authorities. The Syriza had previously said that they would not speak to the troika and that they are dead, but has appeared to go back on that in recent days.
Countries have individually put forward their distaste at the Greek situation. The German finance minister, Wolfgang Schäuble has has outlined that any decision will be made by the troika.
Schäuble and Peter Kazimir, the Slovak finance minister have expressed that Greece needs to face up to the reality of the situation and not play games or speculate.
Greece has said that the meetings have been successful, as the bailout extension is holding. Athens has put forward that the creditors are willing to help the Greek’s financial situation and that its reforms has been “accepted politically” by the eurogroup.
Find out the latest news from Trade Finance Global on Greece here.