Saturday December 20, 2014 Search
Weather | Athens
17o C
10o 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)  
Tsipras admits there could be hard days ahead
Public medical centers keeping up despite shortages
Scientists to announce Amphipolis skeleton findings next month
PM to take legal action over allegations of bribery in presidential vote
Workers rush to get early retirement
Nine out of 10 workers who retired in the last four months who had belonged to the former special funds of banks and state corporations that have now been incorporated in the Social Security...
Piraeus Containter Terminal goes from strength to strength
Piraeus Container Terminal, the local subsidiary of Chinese giant Cosco Pacific, is expected to handle a total of over 3 million containers in the January-December period of this year. The J...
Inside Business
BASKETBALL
Explosive Barca unfazed by Panathinaikos, bomb scare
Panathinaikos lost 80-67 at home to Barcelona on Friday in a rather meaningless game at the end of the first group stage of the Euroleague, but the encounter will be remembered for the bomb ...
SOCCER
Abidal cuts short playing career at Olympiakos
Former France and Barcelona defender Eric Abidal announced his retirement from football on Friday, a day before his last match. Abidal said he will finish after playing for Olympiakos agains...
Inside Sports
COMMENTARY
New weapons of diplomacy
Hollywood screenwriters couldn’t make it up: That Sony, one of the world’s biggest film producers, would be forced to pull a comedy about the assassination of North Korea’s dictator after a ...
EDITORIAL
Oblivious to change
The world around us is undergoing many important changes while we sit around stewing in our own juices. US President Barack Obama is actually talking with Cuba’s Raul Castro, for example, bu...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Explosive Barca unfazed by Panathinaikos, bomb scare
2. Tsipras admits there could be hard days ahead
3. Public medical centers keeping up despite shortages
4. Workers rush to get early retirement
5. Piraeus Containter Terminal goes from strength to strength
6. Moscovici: Creditor inspections to become less frequent and ‘lighter’
more news
Today
This Week
1. Ship with 200 migrants off Pylos towed to Italy after passengers refuse to stop in Greece
2. Independent Greeks MP Haikalis claims attempted bribery for presidential vote
3. Greek PM Samaras confronts peril putting his Greek transformation to vote
4. Independent Greeks leader backs MP's bribery claims, threatens to release video [Update]
5. Former premier Mitsotakis to meet President Papoulias to discuss political upheaval
6. Gov't spokeswoman says bribery claims 'badly-played charade,' heralds legal action if evidence not produced
Today
This Week
1. Juncker warns Greeks against voting 'extreme forces' into power
2. Romanos and the dilemma
3. Samaras summons bond vigilantes with euro exit talk
4. A friendly yet firm message from Pierre Moscovici
5. Europe's drama in Greece needs final act to avoid tragedy
6. High stakes
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2014, H KAΘHMEPINH All Rights Reserved.