It's 'Armageddon' was how one govt source described IMF counter-proposal

Document reportedly sent to SYRIZA government at … 5 a.m. (Athens time), meaning that top IMF bureaucrats were working on it up until 10 p.m. (EST)

“It’s not a (counter) proposal, it’s Armageddon; they sent it to us at 5 in the morning”, was the response by a high-ranking but unnamed Greek government spokesman to reported demands for a higher (23 percent) VAT rate on most goods as a well as an end to practically all early retirement schemes in the country.

Using the now famous “non-paper” method of communication often preferred over the past five months, the same source used the word “barbarity” to describe the IMF’s counter-proposals.

The leftist SYRIZA government is also apparently miffed that no proposal on “debt” restructuring is offered, with the prospect examined only after measures are implemented.

Another government source said that the negotiations are “difficult, we’re trying to ensure a medium-term financing”.

The counter-proposal by the IMF, which includes the higher and more universal VAT rate and the almost immediate elimination of early retirement (July 1) is viewed as a rejection of Athens’ recent package of measures, worth eight billion euros — mostly tax and social security contributions and hikes in VAT rates.

Tsipras in Brussels, again

Shortly before he departed from Brussels for yet another “urgent” Euro meeting on the “Greek issue”, PM Alexis Tsipras admitted that the partners refused his government’s equivalent measures, underlining that this has two possible reasons: “Either they want no deal, or they serve special interests in Greece”.

“The non-acceptance of equivalent measures is unprecedented. Neither in Ireland nor in Portugal. Nowhere! This strange stance may be due to two reasons. Either they do not want an agreement or they serve specific interests in Greece.”

tsipras_airline

Tsipras will be accompanied by Deputy PM Yannis Dragasakis.

He was invited by EC president Jean-Claude Juncker in order to partake in a meeting with the heads of the institutions (troika) including the ECB’s Mario Draghi, the IMF’s Christine Lagarade, and Eurogroup president Jeroen Dijsselbloem, as well as Thomas Wieser and Klaus Regling.