Friday December 19, 2014 Search
Weather | Athens
17o C
10o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Troika not convinced social security bill can cover fiscal gap

A bill aiming to trim Greece’s social security spending will not be enough to cover next year’s fiscal gap, European sources told Kathimerini on Tuesday, as the difference in opinion between Athens and the troika over how much austerity will be needed next year looks set to intensify.

The government was due to submit to Parliament late on Tuesday or early Wednesday a draft law that aims, among other things, to limit evasion of social security contributions. Along with the across-the-board implementation of a unified public sector wage structure and several other measures, the government hopes to produce 500 million euros of savings next year. The troika, however, believes that much more will be needed, with the fiscal gap likely to come in at around 2 billion euros.

European sources told Kathimerini’s Brussels correspondent Nikos Chrysoloras that the troika does not believe the bill will result in the projected savings and that these savings will not be enough anyway.

The two key stumbling blocks to Athens and its lenders agreeing are Greece’s projected revenues for next year and its forecasts for welfare expenditure. The troika believes that social spending will be higher than Greece expects next year due to high unemployment and the growing inability of firms to pay social security contributions. The lenders are also unwilling to accept Greek projections for tax revenues next year, which include extra income from an improvement in tax collection and a further clampdown on evasion.

The troika’s immediate concern upon the return of its inspectors to Athens next week will be to check on how close Greece is to meeting the “milestones” it has agreed in order to secure its next bailout tranche of 1 billion euros. One of those commitments is placing 12,500 civil servants in a mobility scheme. Speaking in Brussels on Tuesday, Administrative Reform Minister Kyriakos Mitsotakis said that this target is likely to be met next week.

He added that the government is looking for another 1,270 employees to dismiss in order to meet its target of 4,000 civil servant sackings by the end of the year. It is still not certain that the troika will approve the government’s calculations as 230 dismissals relate to public sector workers fired for breaking the code of conduct. Another 500 or so are employees who quit because of poor health.

ekathimerini.com , Tuesday October 29, 2013 (20:49)  
ND rebuffs bribery claims, says alleged mediator was adviser to Kammenos
GD´s Kasidiaris charged for recording chat with ex PM aide
Independent Greeks leader backs MP´s bribery claims, threatens to release video [Update]
Ministry rebuffs reports that Amphipolis skeleton has been identified
IMF postpones Cyprus loan tranche after foreclosure law
The International Monetary Fund on Thursday said it could no longer release funds to Cyprus under its bailout this week, after the euro zone government suspended a foreclosure law that was r...
Importers told to pay up in advance
In the last 10 days foreign suppliers have again started asking for the full cost of commodities exported to Greece to be paid in advance by their local representatives, in a picture reminis...
Inside Business
SOCCER
PAOK loss at Giannina brings Olympiakos to within a point
The bad losses that PAOK and Panathinaikos suffered on the road on Thursday allowed Olympiakos to gain significant ground on the table and come to within one point from the top after the mid...
BASKETBALL
Reds lose in Turkey to motivated Galatasaray
Olympiakos went down at Galatasaray 79-74 on Thursday for its second defeat in the first round of the Euroleague that ended with the Reds topping their pool with eight wins in 10 games. With...
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. ND rebuffs bribery claims, says alleged mediator was adviser to Kammenos
2. GD´s Kasidiaris charged for recording chat with ex PM aide
3. Independent Greeks leader backs MP´s bribery claims, threatens to release video [Update]
4. Ministry rebuffs reports that Amphipolis skeleton has been identified
5. Gov´t spokeswoman says bribery claims ´badly-played charade,´ heralds legal action if evidence not produced
6. Former premier Mitsotakis to meet President Papoulias to discuss political upheaval
more news
Today
This Week
1. Independent Greeks MP Haikalis claims attempted bribery for presidential vote
2. Greek PM Samaras confronts peril putting his Greek transformation to vote
3. Ship with 200 migrants off Pylos towed to Italy after passengers refuse to stop in Greece
4. Gov't spokeswoman says bribery claims 'badly-played charade,' heralds legal action if evidence not produced
5. Former premier Mitsotakis to meet President Papoulias to discuss political upheaval
6. Ministry rebuffs reports that Amphipolis skeleton has been identified
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. High stakes
6. Europe's drama in Greece needs final act to avoid tragedy
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2014, H KAΘHMEPINH All Rights Reserved.