Negotiations between Greek government and Troika are in breakeven point, as it becomes more evident that the two sides are opposed.
The government continues to pursue an agreement that would further burden the Greek society as well as maintain political stability and that will be manageable within a way that allows for the election of the President of the Republic.
Lenders, on the other hand show that they are seeking an agreement that will extend massive surveillance of the country for one or two years moving always in the context set by previous memoranda.
Indicative of the deadlock is that the government teleconference with Troika at Friday dawn was “fruitless” while the repetition of the same evening was canceled because there were no prerequisites to obtain positive results.
Based on the current situation the best scenario now following the developments on Friday and the government belief that Troika will not return until the end of next week and the fact that the Eurogroup of the 8th of December has been blocked is that a new extraordinary Eurogroup will be held before the Summit on the 18th of December. The agreement for the next day is postponed for new year.
The worst scenario will be if the assessment is not completed by December and a new jointly negotiated agreement that includes the current demands of the Troika in conjunction with the next day and debt management takes place in the new year.
As currently stands the lenders are convinced of a of 2.5-3.5 billion euro gap for 2015 request a review of the financial budget forecasts.
Ant that is not all.
They are asking at the same time for changes in insurance that will include cutting pensions and raise the retirement age in 2015 in order to reduce the contribution of the state but also to pave the way for private insurers.
And of course they also require changes on VAT.
The Greek government doesn’t refuse that the unblock of the negotiations is a matter of political decision between Brussels-Berlin and Washington which the Prime Minister focuses his telephone contacts without however any result as yet.
It is clear that lenders send their messages to the opposition as well by showing that any agreement will bind the whole country either before or after elections.
The low profile that SYRIZA keeps lately is indicative of the existing problem.
