Saturday April 19, 2014 Search
Weather | Athens
17o C
11o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Greece will 'exit the crisis stronger' says PM

By Nick Malkoutzis

BRUSSELS - Prime Minister Antonis Samaras said that the Eurogroup’s decision on Thursday to release some 50 billion euros in loans over the next few months would give Greece the chance to “exit the crisis stronger, not on its knees.”

Speaking at a news conference in Brussels ahead of a European Union leaders' summit, Samaras said the disbursement of the money would allow the government to pay over the next few months all of the arrears it had built up with citizens and suppliers, which stand at about 9 billion euros.

“Over the next few months, we’ll get 52.5 billion euros, which is something nobody had expected,” he said. “About 40 billion of this will stay in the country and the rest is being used to reduce our debt.”

Earlier, eurozone finance ministers agreed to release 49.1 billion euros of loans for Greece. Of this, 34.3 billion euros would be disbursed immediately, possibly by next week, while another 14.8 billion euros would be transferred to Athens in tranches during the first quarter of next year as long as reform “milestones” are met.

It was also clarified by European Financial Stability Fund chief Klaus Regling earlier on Thursday that the 11.3 billion euros Greece will receive in loans in order to execute its bond buyback program will come from the 109 billion euros entailed in its second bailout rather than from additional lending.

The completion of Greece’s bond buyback program this week means that the International Monetary Fund is also due to approve its payment as part of the Greek program. This is worth 3.4 billion euros, taking the total to the 52.5 billion Samaras referred to.

From next week’s disbursement, 16 billion euros will go toward bank recapitalization, 7 billion for budgetary financing and 11.3 billion to finance Greece's bond buyback program.

“Within the next few weeks, we’ll complete the recapitalization of our banks, which will help liquidity and boost job creation, which is the top priority,” said Samaras.

“Some people expected us to be out of the euro and cannot believe that we are staying in,” added the prime minister. “We have restored trust in Greece abroad; now we will restore the dignity of the Greek people.”

Finance Minister Yannis Stournaras, also at the news conference, said that the Eurogroup’s decision on Thursday would douse, but not end, speculation about Greece leaving the euro.

“The threat of a euro exit is beginning to fade after today’s decision,” he said, adding that there was still much work for the government to do.

“Those who believed in Greece have been justified but we cannot rest,” said Stournaras. “The journey begins today.”

He emphasized that Greece would have to meet its commitments on structural reforms, starting with the new tax bill, which Stournaras said would be table in Parliament on Thursday evening.

He said fellow eurozone finance ministers showed a keen interest in the draft law, particularly in terms of what measures Greece will take to boost revenues and cut down tax evasion.

Questioned about legislation to trim parliamentary employees’ wages and privileges, Samaras said that his government was determined to push through with the measure despite opposition from the civil servants.

“The government and I will not accept blackmail,” he said.

ekathimerini.com , Thursday December 13, 2012 (18:54)  
Greek Christians mark rare Good Friday in north Cyprus
Greece offers to help find Turkish F-16 lost in 1996
Talks lined up in wake of ‘shameful’ soccer scenes
Dimou quits To Potami over Holy Fire quip
Eurobank share offering on April 25-29
Greece's third largest lender Eurobank, which is issuing new shares to help plug a capital shortfall, said on Friday that the cash call will take place from April 25 to 29. The transaction o...
PPC to issue corporate bond of 500 mln
Public Power Corporation is planning to tap the markets after Easter with the issue of a corporate bond to draw 500 million euros. The Energy Ministry is also eagerly awaiting the issue, as ...
Inside Business
BASKETBALL
Greens lose badly as CSKA Moscow
Panathinaikos has a mountain to climb in order to reach the Final Four of the Euroleague after losing at CSKA Moscow on Friday for a second time in two days, only this time it was comprehens...
BASKETBALL
Former Red Bourousis wrecks Olympiakos´s hopes for a break
Olympiakos tried harder in Game 2 of the Euroleague play-offs in Spain, and Real Madrid was not as good on Thursday as in Game 1, but the Spaniards still emerged victorious on the night with...
Inside Sports
COMMENTARY
The placebo effect and the economy
Among the greatest mistakes made in the years of Greece’s hard landing is that citizens did not get the chance to sense that aside from austerity and pain the economic adjustment program als...
COMMENTARY
Ukraine is a crisis—but not a Cold War
Given Russia’s annexation of Crimea, the imposition of US and European sanctions, and the potential for more escalation in Ukraine, we are witnessing the most important geopolitical events s...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Greek Christians mark rare Good Friday in north Cyprus
2. Eurobank share offering on April 25-29
3. Greens lose badly as CSKA Moscow
4. Former Red Bourousis wrecks Olympiakos´s hopes for a break
5. PPC to issue corporate bond of 500 mln
6. Greece offers to help find Turkish F-16 lost in 1996
more news
Today
This Week
1. Greek Christians mark rare Good Friday in north Cyprus
2. Eurobank share offering on April 25-29
3. Greece startup leaders say they can’t break jobless cycle alone
4. Ground-breaking Good Friday mass signals thaw in Cyprus
5. Mayoral candidates clash over Athens mosque plans
6. Seven arrested over Toumba violence
Today
This Week
1. Greece's market return mirrors return of tourists
2. Samaras sees no need for third bailout
3. Parties start announcing candidates for European Parliament elections
4. Greece startup leaders say they can’t break jobless cycle alone
5. Germany signals easing on euro area before Merkel’s Greek trip
6. IMF's Thomsen says Greece not fully financed to 2016
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2014, H KAΘHMEPINH All Rights Reserved.