The embattled Tsipras government is experiencing another «Quo Vadis» moment this week, with the Greek prime minister expected to request from German Chancellor Angela Merkel that the IMF completely exit the Greek bailout program.
Alexis Tsipras will travel to Berlin on Friday for a previously scheduled meeting with the powerful German chancellor, who leads Europe’s biggest economy and is Greece’s biggest European creditor.
According to reports circulated on Tuesday and Wednesday out of the Greek capital, the leftist government wants to prevent the Fund from influencing pending decisions regarding crisis-battered Greece, or at the very least, remain in the program but only as a technical adviser.
“Given that the IMF isn’t helping on the issue of debt, we don’t need it,” was the phrase used by one government source on Wednesday who spoke to “N”.
Meanwhile, press reports out of Berlin the same day noted that while Merkel will carefully listen to Tsipras’ arguments, final decisions are nevertheless made at the Eurogroup venue.
The Greek side also attempted to downplay the ESM’s decision, hours earlier, essentially freezing the implementation of short-term debt relief measures for Greece. The reason is the surprise “Yuletide bonus” for pensioners announced by Tsipras over the national broadcaster on Thursday.
Sources out of the premier’s office merely referred to a “procedural” matter, until institutional creditors have an opportunity to assess the bonus package.
Tsipras announced that 1.6 million pensioners would be divide up 617 million euros emanating from exceeded revenue targets in 2016. The leftist government has dubbed as “low income” any pensioner receiving less than 850 euros a month, regardless of held assets, properties or other deposits.
