The Prime Minister Antonis Samaras will be in Berlin today, where he is scheduled to meet with Chancellor Angela Merkel. Athens has invested a lot in this meeting, aiming to gain Germany’s support in the effort to exit the crisis. Although expectations had been generated about the meeting, the Chancery has made it clear that Greece should not have any high expectations about today’s meeting, as any decision will be made after the end of the Greek program.
Nevertheless, the Greek debt and its effects on the domestic political front will be on the agenda. Mr. Samaras may not expect anything from Germany, but he will have the opportunity to gauge Merkel’s intentions. The two leaders have developed a trust, which Mr. Samaras will wish to take advantage of, in order to receive German support as Greece nears the end of its program.
With the troika set to return to Athens next week, the government’s plans will be discussed. The Prime Minister wants to avoid any new fiscal measures, as well as any further changes to insurance and employment relations, although the troika has made certain demands. Mr. Samaras will try to convince Mrs. Merkel that further measures will put a lot of pressure on the coalition government and that SYRIZA is ahead in the polls.
In order to avoid any surprises, the Prime Minister will aim to gain the active support of Germany, in order to intervene and convince the troika, so that Mr. Samaras can implement a series of tax cuts and debt relief measures. The positive comments by the ECB head Mario Draghi and the recent developments in the economy will be the aces up Mr. Samaras’ sleeve.
Mr. Samaras’ aim will be to convince Mrs. Merkel that Greece does not need any further funds and can do without the funds that the IMF was to give for 2015-16, without even having to resort to the FSF funds set aside for the banks. This echoes the Minister of Finances’ belief that Greece does not need a further bailout.
