‘Not One Euro More’ of Austerity - Greek PM Alexis Tsipras

Greek Prime Minister, Alexis Tsipras, was out on wires, via Bloomberg, stating that they are against creditor demands for more pension cuts and tax increases before a meeting of euro-area finance ministers to unblock the country’s bailout review.

Key Highlights

  • “The demand to legislate more measures, and contingent ones, no less, is alien not just to the Greek Constitution but to democratic norms,” notes Tsipras.

  • IMF views the projections shared by Greece and the European creditors that the country can reach a primary budget surplus of 3.5% of gross domestic product by 2018 as too optimistic.

  • IMF says the surplus will only reach 1.5 percent, and that Greece needs to cut the income-tax-free threshold and pensions to meet the target.

  • German Finance Minister Wolfgang Schaeuble hinted he’d discontinue the program if the IMF walks away, the fund’s Managing Director Christine Lagarde said her organization would remain fully engaged in the program.