New Measures Worth EUR12.77bn
The Greek government is about to unfold a series of “new” measures, that have already or will be announced soon.
The measures are related to the support package of 12.77bn euro or 5% of the gross domestic product. They were firstly reported a few weeks ago, when troika completed the review of government’s process and deciphered by International Monetary Fund’s report, last week.
Although it is the first time for the measures to be announced, most of them had been provided by the Memorandum last May. According to the latter, Greek government would announce the measures for 2012-2014 period in 2011.
The value of the measures rose to 5% of GDP or 12.77bn euro due to the failure of the measures already taken (indirect revenues, taxes, etc).
An even further raise in worth cannot be ruled out, if any variations in budget execution occur by next March, when the law bill will be passed. Barely nothing about the measures has leaked from the Ministry of Finance yet, while IMF has been more descriptive:
Increase of VAT, taxes on businesses and property, radical change in public payroll and massive shutdowns-sales of public utility organizations.
Regarding to the taxes, the Fund promotes the transfer of goods and services from reduced VAT rate to normal and the abolition of lower rates on Greek islands. Regarding the taxation of legal entities, the reduction of depreciation rates is under consideration along with the imposition of strict conditions on intra-group transactions.
As for the public sector, IMF promotes freeze of hiring in state firms, shutdowns and mergers of public utilities, cut in benefits, increase the daily work from 7 hours to 8 hours and limiting of wage increases.
(capital.gr)
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Le prossime iniziative dell'esecutivo ellenico.