ECONOMY

Greek government, EC close to agreement on budget

greek-government-ec-close-to-agreement-on-budget

The Greek government and the European Commission are reportedly one step before an agreement on Greece's draft budget for 2020. 

Sources at Greece's Finance Ministry said that no further communication will be required with representatives of Greece's international creditors following the submission of the draft budget for their inspection, indicating that an agreement on the basic parameters of the budget is within reach.

According to ministry sources, the final draft sent to Brussels foresees very few changes from the original, with the forecast of a 2.8 percent growth rate remaining. 

The tweaks relate to projected revenue from payment plans for those with debts to the state, from electronic transations and from licenses for games of chance among other things. 

Once the changes have been finalized, the final draft of the budget is expected to be submitted to Parliament in November. By mid-November, the ministry will have a clearer picture of the extent by which the target for the primary surplus will have been exceeded. On the basis of this, it will be decided how the surplus will be divided to low-income Greeks, in line with pledges by Prime Minister Kyriakos Mitsotakis.