A teleconference meeting with the Brussels Group on Monday hopes to restart negotiations on key issues of the Greek economy. Talks are a precursor to Wednesday’s meetings in Brussels for negotiations until the start of May, after hopes for a solution for Greece until the end of April were dashed.

In light of recent attacks against Finance Minister Yanis Varoufakis by other Eurozone finance ministers who called him a “time wasting, amateur, gambler”, the new deadline date that the Greek government is eyeing is May 11.

Hot issues being negotiated:  

– Reduction of supplementary pensions;

– Restrictions to early retirement;

– Release of group dismissals;

– Annulment of VAT rebates on islands or the imposition of a single VAT rate of 19% or 21%

The government’s red lines:

– Social security: There may be a discussion concerning the reduction of supplementary pensions, even though this was initially a “red line”. Furthermore, the government may put the brakes on early retirement.

– Labor: The government has made it clear that group dismissals would not be allowed, however it is considering delays to minimum wage increase and group contract negotiations until after June.

– VAT: Representatives of international creditors want a joint VAT from 19-21% with the absorption of the two existing 13% and 23% taxes. Lenders want the abolition of special VAT status that is applicable to the Aegean islands. The government is considering imposing the VAT hike only for expensive hotels in order to bring in the necessary yield that creditors require.

– Auctions: Following the “yellow card” shown by the European Central Bank in regards to the Finance Ministry’s bill, the government is considering a decrease to assessed value criteria for wealth and income that is currently on the table.

–  Privatization: There is disagreement as to where the money yielded from privatizations will go, with lenders pushing for these to go directly to paying off the debt, whereas government sources state that the government wants a portion to go to social security funds provided, of course, privatizations take place.