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Πέμπτη, 08 Αυγούστου 2019 21:13

Athens points to continuing drop in borrowing cost in argument to ease annual fiscal targets

Greece's finance minister, Christos Staikouras, had officially broached the new Mitsotakis government's standing desire to reduce creditor-mandated annual primary budget surplus targets, as a percentage of GDP, less than two weeks after the July 7 general election.

By T. Tsiros 
[email protected]

Greece's finance minister, Christos Staikouras, had officially broached the new Mitsotakis government's standing desire to reduce creditor-mandated annual primary budget surplus targets, as a percentage of GDP, less than two weeks after the July 7 general election.

In a response to a previous EU Commission letter, Staikouras opined that a continuing decrease in borrowing costs positively affect sustainability of the country's debt, as well as markets' expectations.

The new center-right Greek government that assumed power early last month has repeatedly cited the need to slash fiscal targets that the thrice-bailed out country must record on an annual basis, namely, 3.5 percent of GDP until 2022.

Staikouras' letter was dated July 19, coming three days after a letter by the Commission to Athens, which referred to an extension of the "enhanced supervision" regime for Greece by another six months.