The Prime Minister Alexis Tsipras admitted that it was a mistake not receiving any money in the February agreement, which he attributed to being “deceived” over the verbal assurances that funding towards Greek banks would be restored, in an extensive interview for Star Channel.
Should the negotiations not conclude, the people will provide the solution, Mr. Tsipras stated. Although he ruled out the possibility of early elections, he suggested that a referendum might be called, in order to decide on critical national issues affecting finances. Mr. Tsipras noted that “we should not fear the Greek people’s judgment”.
Mr. Tsipras argued that the February agreement was success and claimed that political opponents and powerful centers in Europe have attempted to undermine the Greek government and its efforts. He conceded that the idleness may further enforce the recession, but argued that democracy and the will of a European member state is at stake.
The PM was critical of ECB chief Mario Draghi, whom he accused of recently changing his policy towards Greece. He also noted that it is difficult to negotiate with those responsible for the bailout agreement, because they “do not want to kill off their child”.
According to Mr. Tsipras pensions, collective dismissals and recessionary measures (such as raising the VAT) are not up for discussion, but he added that the pension system reform will have to be addressed, within the framework of a midterm agreement. The goal is to agree on what is possible to push forward, with more difficult issues to be decided upon at the final agreement.
Despite frequent criticism, Mr. Tsipras defended his outspoken Finance Minister Yanis Varoufakis, underlining that he is an “important asset for the government and the country, because he speaks their language”. However, he was quick to add that the negotiation does not belong to one person (in relation to the formation of a political negotiation team) and that the responsibility lies with the Prime Minister.
When pressed about potential measures, the Prime Minister revealed that the controversial ENFIA tax may be preserved for this year, in order to achieve the necessary primary surplus for 2015. One of Mr. Tsipras’ pledges before the elections was to abolish the tax, however with the economy having suffered, it will be preserved for six months.
This is contrary to a recent statement by Alternate Finance Minister Nantia Valavani, who claimed that the abolition of the ENFIA tax was a government priority and that it achieved its goal in 2014 by “eliminating” taxpayers, many of whom neglected other payments. She explained that between 2013 and 2014, when the ENFIA tax came into effect, outstanding debts soared from 8.5 billion to 14 billion.
