Greek Prime Minister Alexis Tsipras has to adopt on Wednesday by the Greek Parliament unpopular measures demanded by creditors of Athens in exchange for keeping Greece in the euro area.
The International Monetary Fund (IMF) has brought him support by stating that the euro area had to do more for Greece and that it might have to erase some of its debt, in a report released Tuesday.
“The debt of Greece may now be viable with measures of debt relief that go much further than what Europe has considered doing so far,” writes the IMF.
The Fund ensures that at present the Greek debt is “totally unsustainable” and provides that it will approach 200% of gross domestic product in “the next two years”, against a ratio of about 175% at present
In Athens, some supporters of the Prime Minister believe that the agreement snatched after a night of negotiations in Brussels on Monday morning is a betrayal of the popular will expressed at the polls on July 5, when 61% of Greeks said ” no ‘to austerity.
However, the government, as demanded Monday the 18 other Member States of the euro area, has bowed to the demands of the latter submitting Tuesday early evening to Parliament a first draft law, including on VAT and the introduction of a budget rule gold.
This is the necessary condition, not sufficient, in pursuit of a process that could lead to the signing in a few weeks of a new aid package of about 82 billion euros to Greece, accompanied by discussions on a debt adjustment.
“This agreement will pass with the votes of the opposition, not with those of the people”, warned the Energy Minister Panagiotis Lafazanis. In fact, New Democracy (conservatives), PASOK (Socialists) and Potami (center left) promised they would vote the law.
Last Friday, the vote on the principle of negotiations, 17 of 149 deputies Syriza had lurch Mr. Tsipras, by voting no, abstaining or being absent. And another 15 had indicated vote yes, but with the idea not to vote for the vote of the measures themselves.
The program first, then the procedures of the party
Faced with this challenge, the Prime Minister has said on public television ERT for an hour Tuesday evening.
No details on what he had decided in the party in the day, Mr. Tsipras assured that it “must first ensure the program and the stabilization of the economy, then we will have time to deal with procedures of the party. ”
In passing, he praised his ally sovereigntist right within the ruling coalition, Panos Kammenos, “remained at his side.” But he tackled his ex-Finance Minister Yanis Varoufakis, “an excellent economist, but not necessarily a good policy.”
Alexis Tsipras candidly admitted he could make “mistakes” have signed a text it does not necessarily believe, but “to avoid disaster in the country,” a euro exit with incalculable consequences. And he warned that banks would likely still remained closed a month to “avoid” the Greeks go withdraw all their money at once.
He referred in very free terms the night of the agreement, “a bad night for Europe”, with Europeans in a position “harsh and vindictive,” with the exception of countries “such as France, Austria , Malta, and Cyprus. ”
Saying “absolutely convinced he led the negotiations to the end”, he recalled going up not paying the June deadline IMF have launched a health referendum challenge to creditors, I brought them out of the country without netting previous assistance program June 30
But he made it clear that the output of the euro which was threatened this weekend in Brussels was its limit.
“A prime minister must fight battles, and tell the truth, make decisions and do not escape,” he has said, “is like a captain on a ship in trouble, the worst would be to abandon ship. ”
Despite the fatigue, and difficulty of the reported agreement of Brussels, Mr Tsipras appeared rather confident. Perhaps, among others, because of a poll published in the evening.
According to this survey Kapa Research for To Vima newspaper, conducted on a sample of 700 people, the Greeks are divided over the responsibilities of “these hard measures” (48.7% imputing the creditors and the government 44.4%), and their effectiveness (51.5% consider positive, 47.1% negative).
In contrast, 72% believe the agreement “necessary”, and 70.1% believe that Parliament must adopt.
Meanwhile, the European partners in Athens have sought Tuesday to find emergency funding promised to Greece, until the third plane is built.
Private debt honored
Greece must find € 12 billion by the end of August, including to repay the European Central Bank and the International Monetary Fund (IMF). On the night of Monday to Tuesday, Greece has once again failed to honor a payment to the IMF.
The Greek state has nevertheless managed Tuesday to repay € 148 million to private creditors in Japan. A drop of water compared to a total debt of nearly $ 312 billion. But Athens continues to honor as much as possible its private debt as a default to the private sector can lead to much more serious consequences as public creditors.
Wednesday, voting day, officials are called in the strike by their union ADEDY, the first since the arrival of Syriza to power in January, and by anti-austerity demonstrations in the parliamentary debate.