Brussel urges athens to reorganize banks

Brussel urges athens to reorganize banks

In particular, the state aid for the four largest financial institutions is to be closely scrutinized once again. 18 billion euros have already been transferred to the major banks. The m reduction was necessary "to stabilize the greek banking sector," it was said. The international lenders urged greece to finally tackle the reform and austerity requirements.

EU commission president jose manuel barroso had previously demanded during his visit to athens: "there must be no more delays.After his meeting with greek head of government antonis samaras, the european commission chief said on thursday evening: "we stand by the greeks". The reforms must be put into practice."

The meeting between the international lenders of the troika and samaras ended on friday without concrete results. The troika of the EU, the european central bank (ECB) and the international monetary fund (IMF) is currently monitoring compliance with the austerity measures. Further billions in aid for the bankruptcy-threatened country depend on it. Athens is behind schedule due to the parliamentary elections.

"They talked about how to get the (stabilization) program back on track," government spokesman simos kedikoglou said after the meeting. As the dpa news agency has learned from government circles, the issue was once again the new 11.5 billion euro savings package demanded by the lenders. The aim is to print the budget deficit below three percent of economic output by the end of 2014.

Athens is seeking to extend the implementation of the austerity package by two years and thus until at least the end of 2015. Results are not expected for the time being. The controllers wanted to leave next week and give athens time to initiate the austerity program, it was said from circles. They plan to return in early september to make a final assessment of the progress made on the austerity package and the privatizations.

According to information so far, the key points of the austerity package include additional cuts in pensions and in the health sector. The retirement age is to be raised from 65 to 67 years of age. In addition, wages of employees of state-controlled companies such as the electricity company are to be drastically reduced.

Brussel also sees an urgent need for action in the banking sector. Competition watchers are particularly skeptical about the viability of nea proton bank, which has received nearly 1.7 billion euros in state aid. The money injections for the four largest banks, the national bank of greece, alpha bank, EFG eurobank and piraeus bank, are also being investigated. Together, these institutions account for three quarters of the greek banking sector.

Greece still can't get a grip on tax evasion despite tighter controls by tax investigators. There are numerous tax sundries, especially in the tourist centers of the agais. On rhodes, crete, santorin or mykonos the traps piled up, as the investigation department (SDOE) reported on Friday.


Eu parliament says yes to eurozone banking supervision
The vote, which had been blocked for months, became possible after the ECB agreed to guarantee the EU parliament insight into its decision-making…

Low with fragile structure – em semifinals are “minimum goal
At the farewell ceremony in colonia, joachim low also mentioned the european championship semifinals as a “minimum goal”. After a turbulent and…

Six choruses celebrate “the most beautiful language in the world”
Welcome dear guests here with us, sang the singing club liederkranz 1843 prichsenstadt at the funeral. From schlusselfeld, kleinlangheim, gochsheim,…

Places for the blackboard
100 customers of the kulmbach food bank were in for a surprise this week. That's how many place cards students of CVG art teacher andreas schobert…

Rate article
Add a comment