Abroad
Greek parliament supports the proposed reforms of Prime Minister Alexis Tsipras for a new support program, worth over 53 billion euros. This gives the Greek Minister of Finance the mandate to the proposal to present this weekend at the European creditors. hit the banks in Greece, the money and the much discussed and feared exit from the eurozone the Grexit threatens.
Why support, but not wholeheartedly
Despite the overwhelming majority for the plan of Tsipras – a total of 250 MPs voted according to The Guardian in favor, 32 against and eight abstained from voting and ten were not present – there was little enthusiasm among Greek politicians. Several prominent members of ruling party Syriza supported Tsipras not, as the influential energy minister Panagiotis Lafazanis.
In his speech to the Greek parliament last night, early Tsipras specifically to the support of his colleagues for his reforms. The prime minister admitted that his proposals are not consistent with the promises made his party in the previous elections, writes the BBC. But Tsipras stressed that the Greek Parliament had the “duty” to the Greek people “keep alive” and “within the eurozone.”
Blow to Tsirpas
Premier Alexis Tsipras speaks the Greek Parliament to to adopt a new proposal for European support. Photo: AP / Thanassis Stavrakis
total voted 145 members of the 162 counting heads Syriza ANEL coalition government. Or Tsirpas after this blow to fear for his position is unclear. What this means for the strength of the government is not sure.
Panos Kammenos, leader of coalition party Independent Greeks, said that his party supported Tsipras. But not wholeheartedly. Kammenos think especially the shipping industry, farmers and ordinary workers will be affected by the conditions of the new aid program. But the alternative was worse, according to him: “capitulation” or “civil war.”
Far-reaching reforms
Tsipras is asking for EUR 53.5 billion in emergency aid to cover the Greek debt until 2018. In return, he is willing to take the pension reform, tax increases and privatisaties implement the European Commission, ECB and the International Monetary Fund earlier this year demanded. Last Friday, the Greek people expressed in a referendum still vehemently against such measures. According to Reuters, the first assessment of the proposal by Tsipras by creditors received.
According to our correspondent in Brussels Stéphane Alonso Greek proposal goes further than the European proposal in late June. Alonso:
“The Greek proposal is almost identical to the most recent European proposal, in late June. But overall, eight points it goes further and is more detailed. For example, what is new is the idea that if the plan does not produce the desired savings, additional taxes are levied. The income group under 12,000 euros then 11 goes to 15 percent. And the income group of above 12,000 to 25 percent. And corporation tax rises. They also set a new, more transparent way of appointing officials. The question is: is it enough? That will experts from the troika view the next 24 hours. It’s very exciting. “
This afternoon, the euro group meets together to discuss the vote in the Greek parliament. Sunday there is a euro summit – with the latest deadline for Greece – unless there is already today an agreement with Greece.
If a Grexit can be avoided this weekend, there are still plenty of obstacles to Greece and its creditors to overcome. Thus, all euro area countries have to approve the new aid to the country. In Germany, many MPs expressed its position against new aid to Greece. It also seems to provide extra credit to Greek banks will be required, as these threaten to go bankrupt before the new aid could be provided in August.
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