The European Commission said that Greece needs to decrease its internal debt to under 3% from the GDP within one year. It gives a deadline to the country until October 24^th to apply additional long-term measures for strengthening the macro economical system, which have to lead to lowering the internal debt in 2010. These new measures must be included in the 2010 budget, because according to the Commission’s forecasts, if they are not taken, the internal debt will reach 4.25%.

Brussels believes these measures should be very specific – they should lower current expenses of the Greek government and should strictly control the expenses of the State sector. All independent experts define the huge state sector as the biggest problem of the Greek economy but its reform and the layoff of public employees will have very high social and political price, which no Greek government will be willing to pay. Right now, according to Brussels it seems that the time has come for severe solutions.

The European Commission is insisting that healthy measures should be taken this year, because the goal for 2010 is to lower the internal debt with 1.25% of the GDP. The Commission pays special attention to the credit growth of the social insurances and especially the retirement insurances. Brussels believes that “urgent measures” are need in this sector. When it comes to the data provided by the Greek National Statistic Services, the Commission uses very strong words. In the past, Brussels has also doubted the accuracy and precision and the Greek National Statistics Services.

Except for Greece, three other countries – Spain, France, and Ireland will also be supervised. The Commission, which will supervise them, will be structured on an unofficial meeting of Eurogroup and of financial ministers from the EU on April 3^rd and 4^th in Prague. It will officially take up their duties on April 24^th on a European Council meeting.