Reuters reported on Wednesday that the Greek government has reached an agreement with institutional creditors of labor market reforms, fiscal targets and even energy sector liberalization, with the key date for unveiling a staff-level agreement being next week's April 7 Eurogroup meeting.
The news agency quoted two unnamed "sources close to the talks".
As "N" has previously reported, pension cuts will, ostensibly, amount to 1 percent of GDP in 2019, a year in which general elections are scheduled. Another 1 percent of GDP in total savings will come from an expansion of the tax base. The latter will be accomplished by lowering the tax-free threshold, from the current 8,600 euros in annual income to roughly 6,000 euros, Reuters reported.
The same dispatch claimed that creditors' demand for an easier regime to allow for mass layoffs will not be implemented, whereas Athens will be allowed to revive the framework for obligatory collective bargaining negotiations between employers' groups and unions, but only after the current bailout ends in August 2018.
In touching on the extremely sensitive issue of breaking up the state-run power company's dominant position in the domestic market by selling off some of the utility's production units, Reuters said the embattled Tsipras government has accepted the demand.
Reuters again quoted two sources it said confirmed that a handful of lignite-fired units in northern Greece will go on the selling block in order to push through the agreement. The units reportedly account for some 40 percent of the Public Power Corp.'s current production capacity.
In a subsequent reaction, a Commission spokeswoman in Brussels merely reiterated that the EU cannot confirm the press report of an agreement, in principle, between the Tsipras government and creditors.
