All the hurdles have been cleared for Greece to receive the last tranche of the third and final bailout as focus shifts to the discussions that Athens is due to have with the institutions in the coming weeks, particularly on the issue of next year’s pension cuts.
In the report of the Article IV consultation with Greece, the International Monterary Fund (IMF) updated its Debt Sustainability Analysis (DSA) to incorporate the debt relief measures that were agreed by the Eurogroup in June.
The International Monetary Fund (IMF) published on Tuesday the report for the Article IV consultation with Greece, which was discussed by its executive board last week.
During the final press conference before the summer holidays and about three weeks before Greece concludes its third adjustment programme, the European Central Bank’s (ECB) president Mario Draghi confirmed what was widely anticipated, which is that the country will not be eligible for ECB’s QE programme.
The IMF has reiterated its key recommendations for Athens and placed strong emphasis on labour policies and continuing reforms that will foster growth and facilitate investment.
The privatisation of Hellenic Petroleum (HELPE) inched forward as the tender process for a 50.1 percent stake in the oil refinery entered a new phase.
International Monetary Fund officials are due to meet on July 27 to discuss the Article IV review regarding Greece and the latest debt sustainability analysis (DSA) put together by the Washington-based organisation, which is being keenly anticipated by investors as Athens prepares for another possible bond issue.
The final disbursement of Greece’s third programme has been delayed for a few days after Germany raised objections to the way in which Athens decided to extend the discount on VAT on five Aegean islands.
The European Commission announced on Wednesday that everything is in place for the enhanced surveillance framework to be adopted after the third programme is completed on August 20.
Ahead of the rubber-stamping of Greece’s post-programme surveillance and Friday’s Eurogroup, the discussion about next year’s pension cuts is continuing.