The Minister of Finances Yannis Stournaras is scheduled to meet with the troika heads on Monday and must address a number of unresolved issues before negotiations can actually begin, with a 10.1 billion euro loan installment being at stake.
Based on the outcome of last Monday’s Eurogroup, the troika is going to put the pressure on Athens to implement structural reforms, while Mr. Stournaras will want to put an end to discussions about a fiscal gap in 2014, arguing that the 1.5-billion-euro primary surplus will cover it.
The government has committed to implementing 80% of the OECD’s proposals, which include changes and deregulations to the sale of fresh milk, non-prescription medication and books and the Ministry must now come up with detailed plans and time tables. Other pressing matters include setting goals for tax inspections and tackling tax evasion.
Additionally the troika has requested the abolition of the collection of parafiscal taxes as well as the gradual reduction of insurance contributions by 3.9%. The troika has also expressed concerns about the management of red loans and is in favor of a complete overhaul of loan management.
Furthermore, the troika has pressured for a deregulation of mass dismissals in the private sector, with the government reluctant to carry out such a reform. Additionally the government will have to come up with plans regarding the dismissal of 4,000 and mobility of a further 25,000 in the public sector.
