The institutions consider Greek social security system sustainable, pension cuts may be cancelled
ΣΧΕΤΙΚΑ ΑΡΘΡΑ
The institutions consider Greece’s social security system sustainable and they are speaking about the cancellation of the measure to cut pensions, according to sources of the Athens-Macedonian News Agency (ANA).
According to the same information, the figures used by the government to convince the heads of the institutions that there is no need to further reduce the pensions are the following:
* Analysis of insurance cost indices (excluding pension cuts) and EFKA surpluses
* The provision that the fiscal room for 2019 will be greater than the 700 million euros referred to in the medium term programme
* Implementing some of the counter-measures in a four-year period, which will give additional fiscal “breaths.”
It is also important that the heads of the institutions (including the IMF) seem to have accepted that the measure of cutting the pensions is fiscal and not structural.
According to the same sources, the institutions consider that the pension issue may be the most important problem that, along with the international circumstances (Turkey-Italy), affects the spreads and prevents the country from tapping the markets.
The final decisions are expected to be taken at the Eurogroup meeting on November 5.
Source: AMNA