Thursday Jul 31, 2014 Search
Weather | Athens
32o C
25o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
PM to unveil new fiscal plan, more taxes

 Papandreou to brief Juncker and pave the way for a second loan package
Jean-Claude Juncker is the prime minister of Luxembourg and the head of the Eurogroup.

Prime Minister George Papandreou is to present Greece’s midterm fiscal plan and its privatization program to the head of the Eurogroup, Jean-Claude Juncker, in Luxembourg on Friday as he hopes to secure not only the June installment of the country’s loan package but the extra funding that will cover an 85-billion-euro gap in public finances over the next three years.

However, the plan that Papandreou is to present will include extra taxes for salaried professionals and pensioners.

Papandreou is expected to provide Juncker with details about his government’s fiscal plan, which will aim to raise or save an extra 28 billion euros by 2015. He will also set out Athens’s plans for selling off state assets. Sources said that the privatizations of state gambling firm OPAP, the Athens Water and Sewage Company and Athens International Airport are to be bumped up to this year in a bid to convince Greece’s eurozone partners that it is taking the program seriously.

Papandreou will also reveal how a new independent agency will oversee the sell-offs.

Final approval is due to come from the Eurogroup meeting on June 20 and any details will be finalized at a European Union leaders’ summit on June 24 that will also pave the way for Greece to enter a new three-year loan pact.

Representatives of the EU and International Monetary Fund are expected to wrap up on Friday their inspection of Greece’s public finances and issue a statement saying that approval of further funding for Greece is a prerequisite for the 12-billion-euro June tranche of its loan deal to be dispensed.

Not all the extra funding will come in the form of loans, sources said. The EU and IMF will provide 30-40 billion euros of financing but privatizations are expected to bring in 25 billion euros and about 20 billion euros will come from a voluntary debt reprofiling. Some private investors are expected to accept swapping their Greek bond with new 10- or 15-year notes. The reprofiling will be handled in such a manner as to avoid triggering credit default swaps, sources said.

Meanwhile, the midterm fiscal plan is expected to hit salaried workers and pensioners as the tax-free threshold will be reduced from 12,000 to 10,000 or 8,000. For self-employed professionals, it will go down to 6,000. Also, restaurants and tavernas will have to charge 23 percent value-added tax rather than 13 percent. This measure will be brought in after the summer. Further taxes on natural gas, heating oil, tobacco and soft drinks are also on the cards.

ekathimerini.com , Thursday June 2, 2011 (22:57)  
Opposition´s bid to remove articles from forestry bill fails
Man dies after being shot outside his house near Thessaloniki
Fake psychic caught in Thessaloniki after gaining 35,000 from victim
Motorists refusing to pay tolls on Corinth-Kalamata highway to be monitored
Euro bonds in seven-month surge as ECB boosts Italy to Germany
Euro-area government bonds were set for their longest monthly winning streak in nine years after weak data from retail sales to factory output signaled European Central Bank efforts to reviv...
Greece may ignore EU and lower energy costs for business, says minister
Greece may cut energy costs for business even without European Union approval, Development Minister Nikos Dendias said on Thursday. “We are pursuing an honest dialogue regarding the reductio...
Inside Business
SOCCER
Goalless draw at Liege puts Greens in driving seat
Panathinaikos got the upper hand in the battle for entry to the Champions League playoffs after snatching a goalless draw at Standard Liege on Wednesday. If anything, the Greek cup holders m...
SOCCER
Greek league recruits former referee Dallas
Former referee Hugh Dallas has been appointed as the head referee of the Greek Super League, the Hellenic Football Federation (EPO) said in a statement on Wednesday. The 56-year-old Scot ear...
Inside Sports
EDITORIAL
Populism eating up education
The fact that the issue of education is not topping the list of priorities for the current coalition government, but instead, has been left in the hands of incapable politicians is utterly i...
COMMENTARY
A valued but mistreated professional
I did not know much on a personal level about Dimitris Stefanou, Greece’s former administrative reform general secretary who died earlier this week at the age of 46. I did, however, have a s...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Opposition´s bid to remove articles from forestry bill fails
2. Euro bonds in seven-month surge as ECB boosts Italy to Germany
3. Man dies after being shot outside his house near Thessaloniki
4. Greece may ignore EU and lower energy costs for business, says minister
5. Fake psychic caught in Thessaloniki after gaining 35,000 from victim
6. Only 5 percent of stores see brisker business during this year´s summer sales
more news
Today
This Week
1. Euro flows reveal shift in sentiment as losses mount
2. EU puzzles over emergency funds for euro area bank crisis agency
3. Motorists refusing to pay tolls on Corinth-Kalamata highway to be monitored
4. Only 5 percent of stores see brisker business during this year's summer sales
5. Fake psychic caught in Thessaloniki after gaining 35,000 from victim
6. Greece may ignore EU and lower energy costs for business, says minister
Today
This Week
1. Quadriplegic woman on life support 'dies due to unpaid power bills'
2. Hedge fund Dromeus turns Greek tragedy to triumph with 160 pct gain
3. Defense Minister Avramopoulos to represent Greece at European Commission
4. Front-line threats
5. Wine cup used by Pericles found in grave north of Athens
6. Greece names fifth privatization agency chief in four years
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2014, H KAΘHMEPINH All Rights Reserved.