Greece's Finance Minister Yanis Varoufakis sent a list of
reform proposals around midnight on Monday, just making a deadline set
by its international creditors.
A Greek government source confirmed that the reform measures were sent to the Eurogroup of euro zone finance ministers for approval. They will also need to be approved by the so-called "troika" overseeing the country's bailout, made up of the International Monetary Fund, European Commission and European Central Bank.
A source close to the European Commission said they were "encouraged" by Greece's "strong commitment" to combat tax evasion and corruption, which were among the measures on the list, according to a document seen by Reuters. Other proposals included pledges to reform
tax policy, consolidate pension funds and to eliminate incentives for early retirement.
In addition, the list includes plans to review and control public spending, and commitments not to roll back privatizations that have been completed.
The Athens Stock Exchange was trading up 5.5 percent Tuesday following the news.
A German government official also confirmed to the news agency that a list of reforms had been received, but would not comment further.
"In the Commission's view, this list is sufficiently comprehensive to be a valid starting point for a successful conclusion of the review,'' the source said, according to Reuters.
Euro zone finance ministers are expected to discuss the measures in a teleconference on Tuesday.
The proposals will then need to be worked into a full reform plan by the end of April, as agreed in a deal Friday between Greece and its international creditors, which gave the country a four-month extension to its current bailout.
If the reforms are approved, Greece will be one step closer to receiving a final tranche of aid which is crucial to keep its financial system afloat.
A Greek government source confirmed that the reform measures were sent to the Eurogroup of euro zone finance ministers for approval. They will also need to be approved by the so-called "troika" overseeing the country's bailout, made up of the International Monetary Fund, European Commission and European Central Bank.
A source close to the European Commission said they were "encouraged" by Greece's "strong commitment" to combat tax evasion and corruption, which were among the measures on the list, according to a document seen by Reuters. Other proposals included pledges to reform
tax policy, consolidate pension funds and to eliminate incentives for early retirement.
In addition, the list includes plans to review and control public spending, and commitments not to roll back privatizations that have been completed.
The Athens Stock Exchange was trading up 5.5 percent Tuesday following the news.
A German government official also confirmed to the news agency that a list of reforms had been received, but would not comment further.
"In the Commission's view, this list is sufficiently comprehensive to be a valid starting point for a successful conclusion of the review,'' the source said, according to Reuters.
Euro zone finance ministers are expected to discuss the measures in a teleconference on Tuesday.
The proposals will then need to be worked into a full reform plan by the end of April, as agreed in a deal Friday between Greece and its international creditors, which gave the country a four-month extension to its current bailout.
If the reforms are approved, Greece will be one step closer to receiving a final tranche of aid which is crucial to keep its financial system afloat.
'Dead end'
Adonis Georgiadis, member of parliament for New Democracy,
the pro-austerity party ousted from power by Syriza in January's snap
elections, accused Syriza of "promising almost everything to everybody."
"I cannot see how the (bailout) program can function with
these measures...Greece is in a very difficult position," he told CNBC
in Athens Tuesday.
"The reality is that if we want to exit the crisis we have to fix the economy and this cannot be done with the things that (Prime Minister Alexis) Tsipras is saying."
"The reality is that if we want to exit the crisis we have to fix the economy and this cannot be done with the things that (Prime Minister Alexis) Tsipras is saying."
He said that as Greece's lenders would withhold vital
funds until they could see the government was serious about maintaining
its bailout promises, Tsipras faced a "dead-end."
"All the risk is in Greece and there is a huge problem: if Mr Tsipras wants to keep the deal with the Europeans he had to vote for measures that will divide his party, and if he wants to not divide his party he will have to cheat the Europeans and not get the money, so it's a dead end," Georgiadis added.
"All the risk is in Greece and there is a huge problem: if Mr Tsipras wants to keep the deal with the Europeans he had to vote for measures that will divide his party, and if he wants to not divide his party he will have to cheat the Europeans and not get the money, so it's a dead end," Georgiadis added.
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