Programme
Staikouras strikes note of caution on fiscal space and tax cuts
Greece’s finance minister revealed in an interview with Kathimerini newspaper over the weekend that the range of tax relief measures the governing party had pledged in the election campaign will be subject to the available fiscal space in 2020, which needs to be discussed and agreed with the European creditors.
Finance Ministry faces balancing act as it starts to draft 2020 budget
The Finance Ministry is getting down to the business of drafting the first version of the 2020 budget, which will have to achieve the key economic goals pledged by New Democracy but also satisfy Greece’s lenders.
New Democracy tax pledges put spotlight on available fiscal space
Following the announcement by Prime Minister Kyriakos Mitsotakis on Saturday of immediate tax cuts, with others to follow, focus is turning to the government’s ability to find the fiscal space necessary to implement the measures while also meeting the primary surplus target for this year and 2020.
New government holds first talks with creditors, may opt for cautious fiscal approach
Greek government officials held introductory talks with the representatives of the institutions on Thursday as New Democracy fleshes out its plans to address key economic issues.
Lenders urge new government to meet fiscal targets as Athens issues 7-year bond
Just a few days after coming to office, the new government is aiming to take advantage of the positive sentiment in the markets by tapping investors with a 7-year bond.
Eurogroup emphasises limited room for discussion on fiscal targets
The first Eurogroup meeting after the election of a new government in Greece left New Democracy in no doubt that it faces a real challenge in trying to convince the institutions that the primary surplus for the coming years should be lowered.
Regling underlines concerns about fiscal target after voter-friendly measures
European Stability Mechanism (ESM) managing director Klaus Regling has repeated his warning that Greece’s is veering away from its fiscal targets following recent measures that Athens adopted without consulting the institutions, leaving the next government with some tough decisions to make.
Eurozone set to give next govt until Sept to address fiscal issues
The new Greek government formed after the July 7 elections is unlikely to have to face probing questions about its plans and this year’s fiscal targets from its eurozone counterparts until September.
EC warns budget not on track due to handouts, advises against further underspend
Greece’s official creditors have recently expressed at various levels their concerns about whether the country will be able to meet its fiscal commitments after adopting a new batch of expansionary measures last month, so it was no surprise that this issue was explored extensively in the latest post-programme surveillance report published by the European Commission.
Institutions warn of fiscal target being missed, reforms slowing
The European Commission issued on Wednesday its third report of the enhanced surveillance period, highlighting concerns about the fiscal impact of the government’s expansionary measures and noting a slowdown in reforms.