Greece’s PM Alexis Tsipras is under immense pressure to accept even tougher economic measures by the EU partners and institutions, including the IMF.
Meanwhile, Finance Minister Eucleid Tsakalotos is in a trilateral meeting with his German and French colleagues, Wolfgang Schauble and Michel Sapin, respectively.
Reports say Schauble has left the meeting, while the other two are still in talks.
According to reports by the Guardian, Tsipras was ‘mentally water boarded’ during negotiations with the other EU leaders, who are unflinching over new demands they have put on the table.
The Greek side is trying to receive a promise on debt relief and the easing of liquidity (ELA) for the collapsing Greek banking system, while the others are expecting commitment via the voting of specific (and harsher) laws until next Wednesday, including:
- Streamlining VAT
- Broadening the tax base
- Sustainability of the pension system
- Adopting a code of civil procedure
- Safeguarding of the legal independence for Greece’s statistical bureau
- Full implementation of automatic spending cuts
- Meeting bank recovery and resolution directive
Greece’s partners are also asking for the privatization of the power transmission grid; actions on non-performing loans; guarantees for the independence of the privatization fund (TAIPED); politicizing the civil administration; and allowing creditors’ representatives to check the implementation of reforms.
