Greece May Face Aid-Payout Delay as EU Warns on Backsliding
Greece’s finance chief said the next international aid payout to the country may be delayed as the European Union stepped up warnings about domestic political meddling in the Greek state.
Finance Minister Euclid Tsakalotos raised the possibility of the government in Athens failing to qualify on time for a 2.8 billion-euro ($3.1 billion) disbursement due in September from the euro area. That’s what remains of a 10.3 billion-euro tranche that finance ministers approved in principle three months ago.
Slipping timetables have been a regular feature of loan payouts to Greece since it first turned to the euro area and the International Monetary Fund for a rescue in 2010. Now in it’s third bailout, the country faces continued creditor warnings about backsliding on overhauls that are a condition for aid.
Alexis Tsipras risks undermining the credibility of Greek fiscal data.
“The commission has long urged the implementation of the pillar of the program related to the modernization of the Greek state and public administration,”
The political controversy centers on Andreas Georgiou, who faces felony charges in Greece for reporting a 2009 budget deficit that was more than five times the EU limit and that unleashed the euro-area debt crisis. The EU has vouched for data submitted by the Hellenic Statistical Authority under Georgiou from 2010 to 2015 and validated by EU statistics office Eurostat.
The Greek government has committed to “upholding confidence in Greek statistics and defending them against any efforts to undermine their credibility,” according to an agreement in June between Athens and its international budget auditors
http://www.bloomberg.com/news/artic...e-aid-payout-delay-as-eu-warns-on-backsliding