Samaras to push privatizations forward
If there is one area lacking in the extensive reforms it is that of privatization. The government appears unable to push them forward, however the memorandum clause of “equivalent measures” could result in new wage cuts, making the implementation of privatization paramount.
The PM is to stress this at a 2pm cabinet-wide meeting at Maximou Hall on Monday. Present at the meeting will be TAIPED president T. Athanasopoulos, CEO I. Emiris and the ministers of State, Growth, Shipping, Tourism and deputy ministers of Finances and Environment.
IMF representative Poul Thomsen has estimated that the key to growth is to open all protected professions and freeing up sectors of the economy such as power and transport. The German government appears dissatisfied with Greece’s progress regarding privatization. The European Commission estimate 8.5 billion euros generated from privatizations by the end of 2016, compared to their initial estimation of 15 billion euros by 2015.
Mr. Samaras wants to push his plan for privatization forward, to avoid the further cuts due to the activation of equivalent measures, which the government will have a hard time justifying to tax-payers. The PM is banking on creditors’ promise to ease the pressure, with new measures and prerequisites discussed at the Memorandum revision in February. The creditors however demand a complete implementation of fiscal reform program, the fast-tracking of privatizations and effectively dealing with tax-evasion.