Brussels, le 06/11/2012 (Agence Europe) - Several European leaders made optimistic noises on Tuesday 6 November 2012 about the future of Greece as a series of strikes hit the country this week. Despite the rejection by ordinary people of the new savings about to be endorsed by the Greek parliament, the head of Eurogroup, Jean-Claude Juncker, said he was optimistic about the Greek goverment's determination to introduce the reforms needed to ensure disbursement of a new instalment of aid (needed by 16 November when a debt of nearly €5 billion becomes due). Juncker said that Greece has “no other choice” and praised the Samaras government's determinatio to get the job done.
The Greek government's multi-annual finance bill will be voted on by parliament on Wednesday evening by an emergency procedure. It will make €18 billion of savings by 2016. Presenting the bill to parliament, Finance Minister Yannis Stournaras tried to get parliamentarians to accept it by calling on their moral responsibility to avoid bankrupcy. Despite opposition to the labour market measures, parliamentarians in the Democratic Left party, Dimar, that is part of the coalition government, are expected to approve the budget, reports Greek newspaper Ekhatimerini.
The Greek government's aim is to have a positive outcome to present to eurozone finance ministers at their meeting in Brussels on Monday 12 November. Speaking after a meeting of the G20 in Mexico on Monday, Euro Commissioner Olli Rehn said that the Greeks were on track for a decision to be taken on 12 November, adding: “We need to have a common view on how to reduce the debt burden by the 12th of November”.
To ensure the eurozone's money keeps coming, Athens will have to tighten its belt even further. Along with the budget measures, the budget includes a 15% cut in pensions and an increase in the retirement age by two years to 67. Public sector workers will have to do without their Christmas and Easter bonuses and tax rises are planned.
On the decision about disbursement of the next instalment of aid for Greece, the president of the European Council, Herman Van Rompuy, said on Tuesday (speaking in Laos where he was attending an ASEM Summit) that the decision would be made at the right time and urged the Greek government to finalise the negotiations with the country's lenders. (EL/transl.fl)