Historic decisions for Greece and the Eurozone

Following a marathon negotiating session of European Council on the 26th of October in Brussels, Heads of State and Government of the Eurozone member states agreed on a comprehensive set of measures which reflect their unwavering determinationto overcome together the current difficulties and to take all the necessary steps towards a deeper economic union commensurate with their monetary union.
In particular on Greece, there was an agreement that should secure the decline of the Greek debt to GDP ratio with an objective of reaching 120% by 2020. It also includes a voluntary contribution by private creditors, amounting to a nominal discount of 50% on notional Greek debt. Additionally, a new EU-IMF multiannual programme financing up to € 100 billion will be put in place by the end of the year, accompanied by a strengthening of the mechanisms for the monitoring of reforms implementation.
“The debt is absolutely sustainable now,” Papandreou told a press conference, earlier today, after the meeting of euro zone leaders.
“Greece can now settle its accounts with the past, once and for all. […] We can claim that a new day has come for Greece, and not only for Greece but also for Europe,” the premier added.
Primeminister.gr: Papandreou press conference after the euro summit (in Greek); European Council President: Remarks by Herman Van Rompuy following the meeting of the Euro Summit & Statement by President Barroso
(GREEK NEWS AGENDA)

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PM George Papandreou`s intervention at the plenary session of the Eastern Partnership Summit (Warsaw, 30/9/2011)

By virtue of its location, Greece is uniquely positioned as a bridge linking the Eastern and the Mediterranean dimensions of Europe’s Neighborhood Policy and has promoted the development of both since the ENP’s inception. Therefore, we are very supportive of the strengthening of the Eastern Partnership (EaP) envisaged in the new Neighborhood Policy, based on our shared principles of liberty, democracy, respect for human rights and fundamental freedoms and the rule of law.
The re-launching and re-energizing of the Eastern Partnership, and of the European Neighborhood Policy as a whole, was long overdue. It was necessary in order to better respond to serious common challenges – political, economic, geostrategic, environmental or pertaining to security and energy – but also in order to better prepare for the future.
Structural reforms, internal political tensions, gas routes, energy supply, ecological risks, economic development, illegal immigration and organized crime, are only some of the challenges we are faced with in the framework of the Eastern Neighborhood Policy. Our engagement in the Eastern Neighbourhood is also a matter of consistency and credibility for the EU. Our strategic goal is and will remain the creation of a wider area of stability and prosperity, both in the South as well as in the East. This could only be done by boosting mutually beneficial institutional cooperation and by converging on a set of common values and standards, modeled on the EU positive paradigm and experience.

PM George Papandreou: A Year of Consolidation and Reform

Greece’s image at this year’s World Economic Forum in Davos was “positive”, Prime Minister George Papandreou said on January 28, on the sidelines of the forum. As Papandreou said, there was across-the-board acknowledgement of Greece’s efforts and of the Greek people’s and government’s determination to carry on with the reforms.
Meanwhile, in an interview with the Austrian newspaper Die Presse, Papandreou reiterated that debt restructuring is not an option for Greece stressing the efforts to achieve an extension of the repayment period of the EU-IMF loans.
See also: A year of consolidation and reform – Greece meets ambitious targets in 2010
(GREEK NEWS AGENDA)

Stability programme on “the right track”

The team of experts from the so-called “troika” (European Commission, the International Monetary Fund and the European Central Bank), after completing their monitoring of the progress of the stability programme, said that the latter is “on track on all of the dimensions.”
 The government is ahead of the deficit reduction target set in the plan for this year and tax hikes are boosting revenues, according to the team.
The government is also making progress on more long-term economic reforms, which can help its future finances, they added.
Meanwhile, Prime Minister George Papandreou, who attended the European Union Summit in Brussels yesterday, underlined that “his government is determined to go ahead with important and difficult reforms,” in order to put the country on the right path for achieving its goals. 
(GREEK NEWS AGENDA)

PM Papandreou`s interview with Newsweek

Greece will decide whether or not to activate the EU-IMF support mechanism within the next few weeks, Prime Minister George Papandreou said in an interview with Newsweek magazine, on April16. 
Papandreou said that the aid package was not a programme for rescuing the Greek economy but would give Greece some “breathing space” in which to carry out necessary reforms, giving the government room to manoeuvre as it embarks on changes that would make the economy sustainable:
“We’re not looking for scapegoats. These are problems of our own making. Markets, however, take a snapshot of the day, projecting it onto the future. It’s difficult for them to evaluate the changes we are making: changes in mentality, changes in our political culture. That may take some time for the markets to realize. But we need a period of calm to make these changes happen. We just passed a new tax law, for example, that is a major revolution in our country. It’s more just and transparent, and it will target tax evaders. This will help slash our deficit. Those numbers are bound to come down”.

PM Papandreou interview on BBC

(GREEK NEWS AGENDA) “Greece is not looking for an EU bailout but for political support from its European counterparts” said Prime Minister George Papandreou in an interview yesterday on BBC One, on the sidelines of his visit to London.
“Give us the time, give us the support – and I’m not talking about financial but political support – in order to show you that what we’re saying is being implemented and we are credible again,” stressed Papandreou, emphasizing on the fact that Greece needs to borrow at the same rate as other countries.
Meanwhile, speaking to “Der Spiegel,” Papandreou expressed confidence that Greece can achieve its target to reduce its budget deficit by implementing serious economic reforms.
BBC News: Greece ‘not looking for bailout,’ Papandreou tells BBC  

PM George Papandreou at the World Economic Forum

(GREEK NEWS AGENDA) Speaking as part of a panel – that also included Spanish Prime Minister Jose Luis Zapatero and European Central Bank President Jean-Claude Trichet – at the annual World Economic Forum taking place in Davos, Switzerland (January 27 -31), Prime Minister George Papandreou said that Greece would not leave the euro area and would use the discipline of membership to slash its budget deficit and make long-delayed structural economic reforms. “The answer is very simple. We went [to the market] for borrowing two days ago and we were five times oversubscribed. We’re not looking for money from anywhere else…” said Papandreou. He outlined an ambitious goal to reduce the deficit by four points this year and bring it below 3% by 2012, through measures taken as part of Greece’s Stability and Growth Programme (SGP).  The premier held a meeting with EU Economic and Monetary Affairs Commissioner Joaquin Almunia yesterday, and the discussion focused on Greece’s SGP in light of the report that the European Commission will be submitting on February 3, on Greece.  European Commission President Jose Manuel Barroso – speaking in Brussels on Thursday – stressed the need for the greater coordination of economic policies in the EU, emphasising that economic policies are not only a national issue, but European as well. Referring to Greece specifically, he expressed the conviction that the Greek government must be supported in its effort to fulfil its commitments in the framework of the SGP.  See world reports – BBC.co.uk: Davos 2010: Greece denies a bail-out is needed; Reuters.com: Greece says being targeted as euro zone “weak link”

PM George Papandreou: Economic crisis “a crucial national threat”

 

 (GREEK NEWS AGENDA)   Prime Minister George Papandreou, addressing a cabinet meeting on Sunday, termed the economic and monetary crisis “a crucial national threat”.    Papandreou, however, expressed optimism over the favourable outcome of the struggle being waged by the government, calling on all Greeks and the mass media in particular to say “no to panic .”
The major changes that have been scheduled for 2010, which he termed a year of great changes and reforms, must be turned into practice as a precondition for this.
The prime minister made a positive assessment of the first 100 days of the country’s governance which, as he said, “we assumed in a deep and multifaceted crisis with a large size debt and deficits that were bequeathed to us by the previous government.”
He added that the economy alone was not at the root of problems, but the country’s way of governance as well.
Papandreou further said that during the first 100 days the “government stood at the level of its historical responsibility which is to have the citizen as its first concern,” adding that apart from changes in regional administration, great reforms and changes are also required in central administration.
He stressed that the changes will meet with great resistances but expressed certainty that they will have the approval of the Greek people.
Papandreou said that at the end of the coming week the stability and growth programme will be announced, as well as the proposals for government and legislative work that will be following in the near future.
He said he would be giving a press conference at the Zappion Mansion in the middle of the week and would be announcing the main conclusions on governance so far and priorities for the coming period, while calling on ministers to do the same in their field of responsibility.
 The prime minister also announced the creation of a “prestigious advisory committee” on the modernisation and operation of the government and institutional bodies with the principle “the citizen first” always being the target.
He stressed that the new architecture of self administration is part of the government’s overall planning so that on November 14, 2010, local administration elections will be held for the new strong municipalities and the regions.
Papandreou added that the “implementation of the great vision of the world of local administration will begin,” terming this task extremely difficult and for which the consent of all is required and that the government shall seek.
He further pointed out that resources for local administration will be secured in the framework of taxation policy and added that with the electoral law which will be voted in Parliament “a decisive blow will be dealt at black political money”.
Papandreou also referred to the government’s struggle for transparency and expressed satisfaction for the positive response met by his initiative to request from the President of the Republic to convene a meeting of party leaders.
Lastly, the prime minister also referred to the bomb attack that occurred in front of the Parliament building on Saturday, stressing that “no one and with no action can intimidate the country’s political world” and underlined that “we are not going to let such an action pass like this.”

Greece: Snap Elections for October 4

(GREEK NEWS AGENDA)  Prime Minister Kostas Karamanlis on Wednesday called an early general election. In a televised address Karamanlis underlined the need for immediate structural reforms and measures to deal with the repercussions of the international economic crisis and what he called decades-old problems of the domestic economy and public sector. He said that strict fiscal discipline, a “war” on tax evasion and long-due structural reforms are imperative. However, as he pointed out, reforms necessitate a fresh mandate which will secure a stable political environment. Leader of the main opposition party, George Papandreou greeted the PM’s decision, calling for a “new beginning” and pointing out that the country’s economic problems where the fault of the government and could not be attributed to the global financial crisis. Secretariat General of Information – About Greece: Political System and Elections in Greece

GREEK ECONOMY IN THE WORLD

2008: A Crucial Year

(GREEK NEWS AGENDA) According to Economy and Finance Minister George Alogoskoufis the government needs to push ahead with reforms this year: “Whatever does not take place now will not happen by the end of the government’s four-year term,” the minister said to Kathimerini daily. In regard to forthcoming negotiations between employers and trade unions on pay hikes over the next two years Alogoskoufis expressed his preference the agreement to cover three years so that “there is a stable midterm framework.”