While all of Greece is tanning it up on the islands along with Libyan and Syrian migrants, Greek MPs are busy passing Memorandum #3…which we are sure will be implemented to the letter and will, ultimately, lead Greece out of its 300 billion euro plus debt crisis, transforming the EU’s periphery into a prosperous economic zone.
The Greek parliament has approved a draft law enacting the third bailout plan. The votes of opposition MPs were crucial for the legislation to pass. Talks lasted through the night and well into the morning.
Parliament was supposed to vote on the bailout on Wednesday. However, Parliamentary President Zoe Konstantopoulou, known for her distaste of Prime Minister Alexis Tsipras’ July agreement with the troika of creditors, has done everything possible to filibuster the procedure.
Meanwhile, the deadline on the agreement is looming. On Friday, eurozone ministers are meeting to discuss whether to approve the deal, or grant Athens a bridging loan to live through the €3.2 billion debt repayment to the European Central Bank (ECB), due on August 20, and win time to overhaul the deal.
German newspaper Bild, referring to Germany’s Finance Ministry, says that Berlin is uncertain about the role of the IMF, debt sustainability and privatization plans.
“Some very important measures are still not yet implemented and are not specified,” Bild reports.
Berlin has challenged Greece’s ability to sustain its €320 billion foreign debt, while the country is expected to return to growth no sooner than 2017. Germany is also worried that the launch of a €50 billion privatization fund has been delayed.
The role of the IMF in the deal is ambiguous, according to Berlin.
“Does IMF fully subscribe to the conditionality in the program, that is the link between reforms and planned credit disbursements?” FT quotes Bild as saying.