Saturday

2nd Jul 2022

Stop 'wasting time', Dijsselbloem tells Greece

  • Jeroen Dijsselbloem: "We've talked about this long enough" (Photo: Council of European Union)

Officials representing Greece’s creditors will return to Athens this week as Alexis Tsipras’ left-wing government is told to stop wasting time in talks over implementing the country’s controversial bailout programme.

"We have spent two weeks discussing who meets who where and in what format, and it's a complete waste of time," Dutch finance minister Jeroen Dijsselbloem told reporters following a meeting of the Eurogroup of finance ministers on Monday (9 March)

Read and decide

Join EUobserver today

Become an expert on Europe

Get instant access to all articles — and 20 years of archives. 14-day free trial.

... or subscribe as a group

Ministers agreed that “there is no further time to lose,” said Dijsselbloem, who chairs the 19 member group, adding that officials representing the European Commission, International Monetary Fund and European Central Bank would seek a “speedy conclusion”.

“We’ve talked about this long enough,” he noted.

Syriza was swept to power in Greece in January and still enjoys strong approval ratings of over 70 percent among voters.

However, it was elected on a platform on renegotiating Greece’s €240 billion bailout programme and abolishing the austerity policies which most Greeks blame for the six consecutive years of recession that have wiped out more than a quarter of economic output, caused a precipitous drop in living standards, and increased the debt burden to 175 percent of GDP.

The return of Greece’s creditors marks a symbolic defeat for Tsipras, who had vowed that officials from the so-called Troika - now referred to as "the institutions" - would not return to Greece.

In an interview at the weekend with Italian daily Corriere della Sera, Greek finance minister Yanis Varoufakis raised the prospect of fresh elections and a referendum if softer terms could not be agreed.

"We can go back to elections. Call a referendum," he warned.

But other eurozone ministers have so far refused to entertain a write-down of Greece’s existing debts or softer terms to the bailout.

Dijsselbloem confirmed that he had received a letter from Varoufakis last week, outlining a handful of new measures in detail, but the Dutchman insisted that an agreement had to be reached on the overall programme.

Syriza’s initial proposals have involved savings from streamlining bureaucracy and a crackdown on tax evasion and avoidance.

He added that none of the remaining €7.2 billion in Greece’s bailout pot would be paid out until the programme was being implemented, insisting that “there can be no early disbursement … without implementation”.

Under the agreement reached in February, Tsipras’ government can only stick to its pledges to increase the minimum wage or pensions if it finds new savings to finance them.

Ministers did not discuss whether Greece would need a third bailout when its current rescue programme ends in June.

“We didn’t get involved in a detailed discussion on Greece,” said EU economics commissioner Pierre Moscovici.

“Commitments have to be respected and put in place by political and administrative decisions".

Elsewhere, France and Austria will be required to propose new budgetary measures in the coming months, while ministers confirmed that France will be given an extra two years to reduce its budget deficit.

Widely considered to be the worst offender in not sticking to the revised Stability and Growth Pact, the French government must present plans to create an extra €4 billion of new savings by April and to fully respect the new 2017 deadline by which time it must reduce its budget deficit to the 3 percent limit.

Dijsselbloem: Greece might need capital controls

Greece could be forced to resort to Cypriot-style capital controls in a bid to prevent depositors taking their money out of the country, the chairman of the Eurogroup has warned.

EUobserved

On falling out of the eurozone by accident

Insults and jokes: We are seeing the birth of a European public space, but loose talk risks serious consequences for eurozone stability.

Tsipras keen to put Greece on EU summit agenda

Prime minister Alexis Tsipras wants Greece to be discussed at this week's EU summit, but others are reluctant to push the issue up to the highest political level.

Opinion

Nato's Madrid summit — key takeaways

For the most part Nato and its 30 leaders rose to the occasion — but it wasn't without room for improvement. The lesson remains that Nato still doesn't know how or want to hold allies accountable for disruptive behaviour.

Opinion

Nato's Madrid summit — key takeaways

For the most part Nato and its 30 leaders rose to the occasion — but it wasn't without room for improvement. The lesson remains that Nato still doesn't know how or want to hold allies accountable for disruptive behaviour.

MEPs boycott awards over controversial sponsorship

Two MEPs have withdrawn their nominations from the MEPs Awards over the Swiss pharmaceutical company Novartis's participation as a sponsor — currently involved in an alleged bribery scandal in Greece.

News in Brief

  1. EU Parliament 'photographs protesting interpreters'
  2. Poland still failing to meet EU judicial criteria
  3. Report: Polish president fishing for UN job
  4. Auditors raise alarm on EU Commission use of consultants
  5. Kaliningrad talks needed with Russia, says Polish PM
  6. Report: EU to curb state-backed foreign takeovers
  7. EU announces trade deal with New Zealand
  8. Russia threatens Norway over goods transit

Stakeholders' Highlights

  1. Nordic Council of MinistersNordic and Canadian ministers join forces to combat harmful content online
  2. Nordic Council of MinistersNordic ministers write to EU about new food labelling
  3. Nordic Council of MinistersEmerging journalists from the Nordics and Canada report the facts of the climate crisis
  4. Council of the EUEU: new rules on corporate sustainability reporting
  5. Nordic Council of MinistersNordic ministers for culture: Protect Ukraine’s cultural heritage!
  6. Reuters InstituteDigital News Report 2022

Latest News

  1. Nato's Madrid summit — key takeaways
  2. Czech presidency to fortify EU embrace of Ukraine
  3. Covid-profiting super rich should fight hunger, says UN food chief
  4. EU pollution and cancer — it doesn't have to be this way
  5. Israel smeared Palestinian activists, EU admits
  6. MEPs boycott awards over controversial sponsorship
  7. If Russia collapses — which states will break away?
  8. EU Parliament interpreters stage strike

Join EUobserver

Support quality EU news

Join us