Sunday Jan 25, 2015 Search
Weather | Athens
17o C
10o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Greece to miss tranche deadline

 Reshuffle and closure of Parliament mean postponing implementation of prior actions beyond June 13

By Prokopis Hatzinikolaou

It seems highly unlikely that Greece’s next sub-tranche of 1 billion euros will be approved before the next Eurogroup meeting as the upcoming government reshuffle and a decision to end the parliamentary season have made it virtually impossible to implement the prior actions required in time.

According to the deadlines chart set by the country’s creditors, the government would need to have everything completed by June 13, the date of the Euro Working Group meeting, for the disbursement of the 1 billion euros to be approved.

However the unexpected early closure of Parliament and the start of the summer sessions from June 17 will effectively halt the submission and voting of bills included in the prior actions. A senior Finance Ministry official told Kathimerini on Wednesday that if Athens cannot fulfill all the prior actions needed by June 13, then this will happen by the next Eurogroup meeting in July, by which time all requirements will have been met.

In the meantime the Greek state has sufficient cash reserves for now, but problems will start to arise after July, as Greece will need to pay 7 billion euros for maturing bonds and other obligations in August.

The main problem is with the bill for the zoning plans, which will apparently be passed over to the Parliament’s summer sessions. Another issue that will remain pending beyond June 13 is the further reduction of pharmacists’ profit margins: From the original 19 percent, the rate has dropped to 17 percent, according to Health Ministry officials, but the revised bailout agreement provides for a reduction to just 15 percent. However the government is not ready to submit a bill to that end as it does not want to open another front with the pharmacists. The government has already started talks with the the pharmacist’ union to find a solution, but the country’s creditors have not been informed of that and it is not known whether they will give their consent.

A third outstanding issue is the splitting of the Public Power Corporation for the creation of the so-called “Small PPC,” which will be privatized. This could test the coalition government’s cohesion in Parliament.

ekathimerini.com , Wednesday June 4, 2014 (22:46)  
Draghi’s QE promise to Greece depends on debt-market math
Eurozone to discuss another extension
S&P sees red over ‘Euroskeptic’ governments
Prospect of elections sent new tax debts soaring last month
Tsipras aims for deal with lenders by this summer
SYRIZA leader Alexis Tsipras will aim to conclude an agreement with Greece’s international lenders by the summer if his party is able to form a government after Sunday’s elections. In a tele...
New highway still in limbo
The government approved a few days ago the payment of another 19.8 million euros to the firm that has constructed the 77-kilometer new Maliakos Gulf section of the Athens-Thessaloniki highwa...
Inside News
SOCCER
Olympiakos overcomes depleted OFI at Iraklio
Easy though it may seem, Olympiakos’s 3-0 win at depleted OFI Crete was rather difficult on Saturday, but was enough to keep the Reds on top on Saturday, as they have maintained their two-po...
BASKETBALL
Tremendous Spanoulis sweeps Laboral Kutxa
A hot second half was enough for Olympiakos to undo visiting Laboral Kutxa and score its fourth win in as many games at the second round of the Euroleague on Friday. The 76-64 final score wa...
Inside Sports
COMMENTARY
The train
If we go by the polls, SYRIZA is set to win Sunday’s election and form a government. New Democracy did not really campaign, or perhaps it did so in a way that can only be explained if the pa...
EDITORIAL
The future is in your hands
On Sunday we will vote in a landmark and unique election. It is a landmark vote because what is at stake is whether Greece will be cut off from Europe’s core, whether certain necessary refor...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Olympiakos overcomes depleted OFI at Iraklio
2. Draghi’s QE promise to Greece depends on debt-market math
3. Tremendous Spanoulis sweeps Laboral Kutxa
4. Eurozone to discuss another extension
5. S&P sees red over ‘Euroskeptic’ governments
6. Tsipras aims for deal with lenders by this summer
more news
Today
This Week
1. Draghi’s QE promise to Greece depends on debt-market math
2. The train
3. The future is in your hands
4. Greek Elections 2015 | LIVE
5. A guide to Greek elections
6. From prison, Greece's Golden Dawn runs quiet but vitriolic campaign
Today
This Week
1. Piraeus Bank is third lender to request ELA
2. Grexit the only way out of ‘valley of tears,’ says Hans-Werner Sinn
3. Fitch lowers Greece credit outlook to 'negative'
4. No debt writedown or rolling back of reforms for Greece, says Finland's Stubb
5. Greeks fork out nearly 5 pct of their incomes on telecom services
6. Greek Elections 2015 | LIVE
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2015, H KAΘHMEPINH All Rights Reserved.