Officials representing Greece’s main three creditors are due in Athens today to review the third bailout program, agreed a few months ago, amid concerns that many of the conditions are yet to be implemented by the incompetent SYRIZA-led government.
According to reports, only some 20% of economic reforms have been implemented, which has been deemed nowhere near enough. Although the government has pushed through a series of labour, pension and tax reforms, the main failure is the privatisation plan – a critical condition. That many of SYRIZA’s MPs are against privatisation in general due to their deluded ideologies, it hardly comes as a surprise.
There is also some concern from creditors about plans heralded by the government last week to distribute some 1 billion euros from an anticipated budget surplus this year to Greeks on low incomes.
An official of the creditors said the third review of Greece’s bailout would be pivotal for three key reasons: its completion will unlock further crucial rescue loans. Doing so will send a strong signal to global markets and investors that Greece is on the right track to economic recovery. Finally it would allow tough discussions on debt relief to take place.