‘Good and bad’ pension cut scenario in Greek draft budget tabled with EU Commission
The Greek government, as expected, included both “scenarios” regarding pension cuts in a draft budget for 2019 sent to the EU Commission this week for its review and posted by the latter on Monday evening.
Only marginal differences are found from the draft submitted on Oct. 1 in Greece’s Parliament, with the primary budget surplus forecast to reach 3.6 percent of GDP for the coming year if the pre-legislated social security reduction is not implemented after all – and 4.2 percent if implemented. An attached bundle of “discretionary measures” – welfare spending and tax breaks – will also be curtailed if the pension measure is avoided.
A final decision on which measures the poll-trailing Tsipras government will or will not implemented during an election year awaits deliberations with the European Commission.
Conversely, a “no change policy” generates a forecast for a 4.2 percent primary balance surplus and a fiscal space of 1.1 billion euros.
With Monday’s submission of the draft budget, the Commission’s service begin their detailed review on Tuesday.
You may be interested
Turkey: “We will continue to protect the ‘Turkish minority’ in western Thrace”makis - Jan 18, 2019
Turkey’s Foreign Ministry spokesman stated in a press conference on Friday regarding the “Turkish minority” in western Thrace in Greece,…
Government plans to transfer Knossos and Leonidas’s tomb to Private Fund, archaeologists saymakis - Jan 18, 2019
The Greek government plans to transfer 587 monuments and cultural buildings in 37 provinces across the country to the Hellenic…
Things to do with kids in Greece: Athens and the Greek IslandsPanos - Jan 18, 2019
With a rich history about one of the greatest civilizations on earth and a Mediterranean coast that draws attention to…