Troika reminds Greece of its bailout pledges

A reminder about the reforms needed for Greece to receive its next EU-IMF bailout tranche arrived on the government’s doorstep Friday as the troika provided Athens with the latest translated version of its memorandum of understanding.

Greece is due to receive another 1 billion euros in loans in October but Friday’s document served as an urgent reminder of a number of reforms that need to be completed before its lenders will agree to release any more money.

These include legislating the new, unified, property tax that has been on the government’s agenda for the last few months. A new tax code will also have to be completed this month.

Furthermore, at least 12,500 civil servants will have had to enter the public sector mobility scheme by the end of the month.

Athens is also under pressure to produce a final plan for the restructuring or liquidation of Hellenic Defense Systems (EAS), mining company Larco and the Hellenic Vehicle Industry (ELVO) so any action can be completed this year. The government is expected to send its revised proposal next week.

The government also faces a number of other tasks in the remaining months of the year. These include finalizing the organizational structure of its revenues administration and drawing up legislation on the overhaul of social security contributions with the aim of widening the base and reducing contributions by 3.9 percentage points.

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