Berlin Wants Greece to Remain Within Previously Agreed Program and Troika in Place



merkel_schaeuble
A German document leaked earlier today by Reuters, reveals that Berlin wants Athens’ new leftist government to ditch its pre-election anti-austerity promises and remain within the framework of economic policies its predecessors have agreed with the country’s international creditors if it wants further support.

According to Reuters, the German document stressed that Greece’s new SYRIZA-led government must not roll back any of the cutbacks and reforms made so far in an effort to improve bloated public finances and regain market trust. “The Eurogroup needs a clear and front-loaded commitment by Greece to ensure full implementation of key reform measures necessary to keep the program on track,” the document said, while in another part it was highlighted that “the aim is the perpetuation of the agreed reform agenda (no roll-back of measures), covering major areas as the revenue administration, taxation, public financial management, privatization, public administration, healthcare, pensions, social welfare, education and the fight against corruption.”

In addition, it is revealed that the German government wants the EU/ECB/IMF Troika to remain in place, against the will of Greek Prime Minister Alexis Tsipras’ administration. It also calls on Greece to declare it would honor its debt repayment commitments towards its international creditors as well as bilateral loans from Eurozone member-states extended to Greece under its bailout program.

“On the basis of the elements outlined above, we are ready to further intensify our cooperation with Greece to foster growth and create new jobs. More needs to be and can be done – on a bilateral basis as well as in a European framework,” the document dictates, according to Reuters.