By V. Kostoulas
Former Greek finance minister Nikos Christodoulakis, who guided the then Simitis government’s economic policy during Greece’s entry into the inaugural Euro zone in 2002, this week called the ongoing delay in concluding a second review of the Greek program (third bailout) inexplicable.
“It (review) should have concluded a year now,” he told “N” in an interview.
Moreover, the veteran lawmaker and economist said any political “escape” by the current leftist-rightist coalition holding power in Athens would not be flattering for the country.
Additionally, he said the Tsipras government upgraded the external debt into a paramount issue for the country and its relations with institutional creditors, whereas a surplus from revenues collected by the state in 2016 — a year that witnessed a “tax tsumani” faced by taxpayers, businesses and consumers — should be used to off-set taxes.
Christodoulakis also warned that a recent decrease in unemployment is temporary, given the impact of employment subsidy programs that will eventually end.
“If the government isn’t convincing that it truly wants to end the memorandum until the end of next year, then there are no good scenarios for the country,” he told “N”.
Even more ominously, he referred to a return of speculation over a “Grexit”, something he said merely preserves uncertainty, frightens investors and prevents a real economic recovery.
“It is not flattering for the country when a government panics in the face of whatever difficulty — mostly due to its own negligence, idleness and an inability to discern the intent of others — which then provokes (snap) elections,” he said.
