Starting with the measures for the next loan tranches

The economic team is preparing the economic program to be followed in the coming three months. The plan, which is subject for approval by the Troika auditors as well on their return to Athens on January 15, provides:

1. for the 9.2 billion euros of the January tranche:

-       the passing of the new tax bill in parliament next week 

-       appointing a new revenue general secretary

-       a ministerial decree establishing tariffs for electricity, with information on an average increase of 11%, while the networks and renewable sources fee will increase by 3%, estimated at 30% of the bill

-       measures to stimulate liquidity in the market with rapid repayment of State debts to private businesses

2. for the 2.8 billion euros of the February tranche:

-       implementation of measures of control and decrease in government spending

-       three-year cap on spending for each sector of the State

3. for the 2.8 billion euros of the March tranche:

-       complete enumeration of redundant staff in ministries and public bodies

-       plan with targets for quarterly withdrawals/transfers of civil servants

-       further reduction in drug prices, based on prices prevailing in the three cheapest countries of the European Union

At the same time, the government has to pay for old and new loans taken through issuing Treasury bills. Treasury bills of 3.4 billion euros from 2012 will expire on January 11, 2013, and the Greek government must decide whether to pay with cash from the tranche or by refinancing with new Treasury bills. The economic team does not preclude a new permutation of repayment to preserve some liquidity for the State. Greek bonds of 443,300,000 euros that are held by the European Central Bank will have to be paid on February 20, while two other bonds of 5.6 billion euros held by the ECB expire on May 20.