ECONOMY

Gov’t warned: Implement bailout deal

gov-t-warned-implement-bailout-deal

The Budget Office of the Greek Parliament warned the government in its quarterly report on Tuesday that it should implement the bailout agreement it signed last summer, with any possible amendments, or put the economy’s return to growth at risk.

The economists who drafted the report estimate that the first bailout review will be completed in March or April, and called on the opposition to support the government’s effort. “The final result of the effort will also depend on the attitude of the opposition. The risks are political,” they noted.

The Parliament’s economists also voiced criticism of the government’s social security reform, arguing that it passes the problems on to the next generations, while the promise not to cut pensions will likely have to be broken in two or three years.

The report further criticizes the policy followed in the first half of 2015: “It is a fact that the first six months of 2015 will be recorded in history as a process of political adjustment that may have improved performances on some fronts (e.g. in primary surpluses) but has cost the country and has complicated problems,” the report said.