Further reduction of commissions and strengthening of liquidity to small and medium-sized enterprises includes the legislative framework the government is promoting for banks, according to Kostis Hatzidakis.

Rejecting PASOK’s amendment on the extraordinary tax on the profits of financial institutions, the Finance Minister explained that “this is not the time to do it. Foreign and Greek investors have just come and put their money into the financial system expecting further growth. Do you think it’s time to tell them that we will tax them exceptionally just two months after their investment?”

The regulations

Hatzidakis, responding to PASOK’s president Nikos Androulakis, noted that “the government will proceed not with populist solutions but with solutions that take into account the real problems and reflect the needs of citizens and customers of banks,” adding that the promoted regulations will have the following characteristics:

Further strengthening of competition, because competition is a key tool to better serve the customer and small and medium enterprises.
In this context, there will be further support for liquidity for small and medium enterprises.
There will be further care for commissions, taking into account what banks have already done and the justified irritation of customers about individual practices.
More active contribution on the part of the banks in solving the major housing problem.

Hatzidakis – Androulakis confrontation

“We are focusing on every move by banks that makes people resentful without destabilizing the financial system, sending the wrong signals to investors and abroad and without undermining the credit rating,” the minister said to personally attack Androulakis, saying: “You took the populist manual and tried to apply some basic guidelines. You have come to the classic conclusion: ‘Tax the banks heavily’.”

Earlier, Androulakis, presenting his party’s amendment, said addressing the government, “You can tax them but you don’t want to so we took this brave legislative initiative. Our proposal for a 5% extraordinary tax on banks’ profits, not on revenues, is not unreasonable. For all this, the government is throwing a ball in the stands and accusing us of populism. Populism in taxing banks on reducing VAT on basic goods.”

“Populism is listening to Mr Hatzidakis saying he will take initiatives on charges. Now where did we bring this initiative? What were you doing all this time when the banks were having a party?” continued Androulakis to add: “We call on the democratic opposition parties and those MPs from the South West who a few days ago told us that they disagree with the banks’ policy to vote in favor. Here is a glorious field of glory for you to prove that you are not playing communication games but are in favor of social justice.”