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live Merkel wants actions from Greece, not promises

24 August 2012 / 15:08:56  GRReporter
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"Actions are more important than words, especially when there is a specific time frame," German Chancellor Angela Merkel said after her first official meeting with Greek Prime Minister Antonis Samaras in Berlin. He visited the German capital to assure the German Chancellor that Greece will be a loyal partner and will reform its internal economy as provided in the contract for financial assistance. Another goal of Samaras in this first meeting as prime minister was to push the idea of ​​extending the aid by two years, as the Greek government hopes.

"The European crisis is related first to the fact that we have lost credibility in each other and second, it is not clear whether we are moving in the same direction. We need to restore credibility in each other. Now it should be clear what we are expected to do. In other words, we expect Greece to fulfil all of what it has promised. We heard the words in the past, now is the time for action," Angela Merkel said.

She made it clear that Greece must remain within the euro area. She stressed several times in her speech that Germany would do anything it could do to help the Mediterranean country to overcome the difficulties. The Chancellor said she was waiting for the report of the supervisory Troika in order to decide on the further actions or changes in the outlined plan. Merkel thus gave so far a red card the idea of ​​extending the time for the fulfilment of the obligations Greece has taken in relation with the fiscal consolidation and the structural reforms.

Antonis Samaras, in turn, firmly promised that the programme would be strictly observed. He stressed that Greece is struggling with two deficits – the first one is the budget deficit and the other is the lack of credibility. Greek Prime Minister tried to push the idea that expanding the recovery program would not be of extra cost to the German taxpayer. "We do not want more money, we want growth. We want to take a breath to dive deeper in order to achieve our goal. We are a proud people and do not like depending on anyone," Samaras said in Berlin and reiterated that Greece is ready to fulfil its obligations.
 
In addition to the assurances, Samaras criticized the European leaders speaking publicly about the possible return of Greece to the drachma. He stressed that such statements hamper the successful implementation of privatizations because no investor would want to buy assets in euro and then settle the accounts in drachmas.

The majority of Greek press could not ignore Angela Merkel’s firm tone. The message of Berlin that Greece should  actually start implementing its obligations is prevalent in the headlines of the most popular newspapers. Naftemporiki’s headline is "Merkel: Greece will be judged by its work." Kathimerini and Imerisia stress on the pro-Greek message of the German Chancellor "Greece must remain a member of the eurozone." Ethnos  covered the news in a similar way but with the addition that "decisions will be taken after the report of the Troika." Ta Nea wrote, "Merkel: We are waiting for Greece to meet its obligations" and To Vima stated, "Merkel to Samaras: keep your promises and we'll see then." The headline of the right newspaper Demokratia called the meeting of the two leaders "Samaras’ greatest hour", whereas the official newspaper of the Greek Communist Party Rizospastis has no article dedicated to the meeting.

The reaction of the opposition radical left SYRIZA was sharp. According to them, Antonis Samaras gives creditors everything they want, but gets nothing for that sacrifice. "The Prime Minister gives everything and receives nothing in return. Nobody has authorized him to sell public property. There are no prospects for development, nor will the country be able to emerge from the crisis as long as the memorandum policy continues to apply. Therefore, it must be cancelled as quickly as possible," the statement from SYRIZA’s press office reads.

 

Tags: PoliticsEconomyAngela MerkelAntonis SamarasBailout
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