Mountain are the problems that the government must face immediately and as the end of the year approaches the situation becomes even more complicated. The state coffers are suffering, while at the same time, the measures to keep the deficit at 3,5% are pending, the Memorandum with the Troika is not closed, the dialogue that needs to take place internally remains pending and the public has proceeded to informal payment stop.
Public debt management data show that from October until the end of the year, a debt of € 781 million expires and the Minister of Finance, Vassos Siarlis, must make titanic efforts to refinance it. Otherwise he has to pay the amounts and among other things he has to deal with the "headache" of the deficit and the "hole" he creates.
Based on the optimistic forecasts, the "hole" may be at € 800 million or otherwise reach € 1 billion.
October comes in with "wild" moods due to debt that expires. According to the data, on October 4, a one-month bill of € 240 million expires, on October 11, a 3-month bill with the amount of € 151 million expires. The difficulties continue and on October 26, two bills with the amount of € 33 million expire and € 24 million respectively.
November does not leave much room for optimism in the financial staff either and on the 15th and 23rd of the month a debt of € 150 million and € 100 million respectively ends. The fiscal drama continues until the end of the year where there are two other bills expiring, worth € 25 million and € 5 million respectively.
In order to have the funds secured for the payment of salaries and pensions, the financial staff has proceeded to "freeze" all other expenses of the State. The liabilities of the state to third parties have become a "sacrifice" on the altar of the deficit, which, given the anemic course of tax revenues, are the only ways to keep the deficit at reasonable levels.
According to the recommendations submitted by the Troika, the deficit for 2012 should be around 700 million euros or 4% of GDP maximum. For this reason, he says, measures are needed for € 175 million (or 1% of GDP) before the end of the year.
The government must choose what to "sacrifice" when it is at the negotiating table with the Troika and what measures will be responded to immediately.
For creditors, the immediate measure is the abolition of the 13th salary in the wider public sector, which is estimated to bring savings of € 120 million, while the reduction of the 13th pension from the Government Pension Plan is expected to bring savings of at least € 14 million.
The rest are estimated to come mainly from taxes.
Source: FILELEFTHEROS