First of all, we should all realize that a sizable amount of our
existing debt came in the form of “loan pushing.” According to the FDC,
they have recorded some anecdotal evidence but only from the Marcos
era. I personally have heard a lot of stories about the activities and
corruption in Napocor and MWSS and I am certain that if the proposed
debt audit will encompass this concept we will be able to elicit more
stories, or evidence if you will.
The HIPC Initiative is a comprehensive approach to debt reduction for heavily indebted poor countries pursuing IMF- and World Bank-supported adjustment and reform programs. To date, debt reduction packages have been approved for 27 countries, 23 of them in Africa, providing $31 billion (net present value terms) in debt service relief over time.
But debt relief needs to go further: as it stands now, the agreements touch only the poorest of the countries. Countries like Indonesia, devastated by the East Asian crisis and the failures of the IMF policies there, are still too well off to be brought in under the umbrella."
The best options right now for a student with debt is to apply to the Income-Based Repayment Plan or the Public Service Loan Forgiveness Program if going into a public service job....
Critics have attacked the proposal, claiming that such a cap makes it impossible for someone with a large student loan balance to work in a relatively lower-paying, public sector job. But in fact, the proposed cap on PSLF has little to no bearing on the ability of such a borrower to take a low-paying job in the public sector. It is IBR, not PSLF, that allows a borrower with lots of debt to take a low-paying job without suffering an overwhelming financial hardship. And IBR would continue to cap borrowers’ payments at an affordable share of their incomes under our proposal and .
Between the two meetings of Eurozone Finance Ministers, the package of the measures-countermeasures to be implemented in 2019 and 2020 will have been legislated on.
The Government has maintained that it will not bring new measures to parliament if an agreement on Greek debt relief is not reached.
Thomsen continued "The issue is not the [current Ed.]targets but the credibility of targets being maintained over the medium term while the economy is growing."
He said the IMF would send experts to Athens next week to help finalise the reform package agreed in principle between Eurozone finance ministers and Greece two weeks ago in Malta.
However, he said, before the IMF would join the latest bailout programme for Greece, now shouldered by the Eurozone alone, Eurozone governments would have to give the Fund an idea of how long they expected Greece to maintain a primary surplus of 3.5% of GDP and what kind of debt relief Greece could expect after 2018.
Furthermore the Government had also secured the prospect of the reinstatement of collective bargaining in the “agreement in principle” with creditors.
Greek PM says debt relief is a condition for more austerity
Greece will implement additional austerity measures agreed with its official creditors on condition of further debt relief that will enable the country to be included in the ECB's bond buying scheme, Prime Minister Alexis Tsipras said on Sunday.
Alexis Tsipras spoke about the new austerity measures his administration has agreed to with creditors.
In the first two months of this year 33,933 taxpayers with debts over 500€ euros had money withheld from their salaries, pensions, bank accounts or had their real estate property seized.
According to data from the newly established Independent Public Revenue Authority (AADE), in 2016, there were 140,000 confiscations for debts to the state.
He spoke of the compromise that had to be made and pledged that these measures would be counter-balanced by social relief measures of equal fiscal value.
“There are measures that are neither necessary, nor are they the ones we would ever choose, but the compromise achieved includes counter-measures that will counterbalance the fiscal impact and generate a zero fiscal balance, and both will be legislated and implemented simultaneously.”
“After Malta the way for the identification of the medium-term measures for the debt is open.
The IMF also argued that such a high target should not be kept for too long because it is unrealistic and damaging for the economy.
The compromise “Agreement in Principle” saw Greece adopt another 2% of GDP (or 3.6€ billion) in new fiscal measures, half in 2019 and the rest in 2020, to ensure that the 3.5% primary surplus target is attainable, while, for its part, the Eurozone will provide medium-term debt relief and limit the high fiscal targets demanded to just a few years (less than five, it is thought) before they drop to levels that the IMF considers more sustainable.
The figures published by ELSTAT on Friday suggest that there was little basis in economic reality for the IMF to dispute the Eurozone lenders’ fiscal forecasts for Greece.
A day before the 2016 primary surplus figure was made public, the IMF issued its Fiscal Monitor report, in which the Washington-based organisation made a timely revision of its forecast for last year.
This would allow officials to draft all the measures that Greek MPs must legislate by the next scheduled Eurogroup on May 22nd when the IMF is expected to indicate whether it will join Greece’s third international bailout programme.
On Thursday Finance Minister Euclid Tsakalotos confirmed in a meeting with MPs of Independent Greeks (ANEL) that so far the two sides have managed to agree to the reduction of the tax-free threshold to 5,900€ from the current 8,636€ and to reduce further the pensions of some 900,000 retirees.
“The IMF has made it clear that it will not participate in the programme without guarantees of debt relief measures.