It appears that Greece is changing its tune and accepts all proposals of the agreement proposed by European partners. The Greek government sent a new letter to the European institutions and the head of the IMF Christine Lagarde, in which it openly accepts all conditions and reforms that creditors proposed last weekend. The information was released by journalist of “Financial Times”, Peter Spiegel, and its reliability was also confirmed by the Greek government.
Tsipras stands behind the request for aid worth 29 billion euros to cover the internal and external debt and debt restructuring, but the Greek government agrees to accept reforms and measures proposed by the European institutions. Greek PM offers some of them to be implemented for a period slightly longer than proposed. In the letter, Tsipras said that he accepts all the reforms related to VAT, but requires a discount of 30 percent on Greek islands because of their remoteness and difficulties of supply. Prime Minister proposes to accept the idea of increasing the retirement age, but instead of its implementation from October, it should start from October and be delayed further.
The Government agrees to reduce the military budget by 200 million in 2015 and 400 million in 2017. It also agrees on the gradual abolition of favorable tax and subsidies for farmers.
Tsipras’ new proposal appears to be the reason for the postponement of the meeting of the Eurogroup for later, for ministers to consider the new proposal of Tsipras, but also the Greek side to have time to make additional changes if needed.