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Greece-EU, Tsipras: "Agreement by 9 May" but referendum ticks

The Greek premier rules out bankruptcy and early elections and says he believes in the possibility of reaching an agreement within the Eurogroup on 9 May, but specifies that Syriza will not violate the electoral programme: "If the solution goes beyond our mandate, it will have to be approved by the Greeks” – There is discussion about work, pensions, VAT and privatizations.

Greece-EU, Tsipras: "Agreement by 9 May" but referendum ticks

Greek premier Alexis Tsipras has announced that he could hold a popular referendum if international creditors continue to demand measures unacceptable to the Syriza-led government. On the other hand, during a long interview with Star TV, the Prime Minister also said that he was confident in the possibility of reaching an agreement at the Eurogroup on 9 May, three days before the payment of a tranche of around 750 million euro to the IMF. 

Tsipras reiterated that he ruled out bankruptcy, specifying however that, for the government, public salaries and pensions come before paying the debt. While rejecting early elections, the Premier stressed that – in the context of the negotiations with the EU, the ECB and the IMF – the Athens Executive cannot accept requests that contradict the electoral promises with which Syriza won the elections in January (the so-called The Thessaloniki programme, the party's manifesto, is based on three pillars: stopping austerity, fighting the humanitarian crisis and relaunching growth). 

“If the solution goes beyond our mandate – Tsipras said -, I will not have the right to violate it, so the solution will have to be approved by the Greeks. But I'm sure it won't get to this point. Despite the difficulties, the chances of winning the negotiations are large. We must avoid panic. Whoever gets scared in this game loses”.

THE POINTS OF THE NEGOTIATION STILL OPEN

Tsipras added that Greece is in the final stage of negotiations, despite differences on key issues such as labor reform, pension cuts and VAT increases. The prime minister said he expected an initial deal on the reforms this week or next and that the sale of assets was part of the concessions offered, including the sale of the port of Piraeus and the lease of 14 regional airports.

“On privatizations the disagreement is above all on how to use the proceeds – he specified -. We want to use them for growth and not to throw them into the bottomless pit of debt”. Pensions, on the other hand, "could be discussed in June as part of a more medium- and long-term programme", where in all likelihood there will be talk of how to reduce the public debt from 317 billion. 

A possible reversal with respect to electoral commitments concerns the abolition of the single tax on the house, which "could be postponed to 2016", while the Premier reiterated that he will not go back on the restoration of collective agreements.

THE VAROUFAKIS CHAPTER: "THE NEGOTIATIONS ARE MADE BY IDEAS, NOT MEN"

As for the downsizing of the role of Yanis Varoufakis in the Athens-Brussels match (Euclid Tsakalotos, the moderate deputy foreign minister most appreciated by the creditors, has been appointed to lead the new negotiating team), the Premier said that "the finance minister remains an important asset for the country, but the negotiations ideas make them and not men”. 

“EUROPE LIED TO US”

“There is a negative climate in the Eurogroup – he added -, and the replacement of Varoufakis is also motivated by the fact that the partners prefer a more malleable interlocutor. The Syriza government was inexperienced and was duped by the other parties at the table. The Samaras government has left us a toxic legacy of empty coffers and ultimatums to be respected. Europe lied to us: they had guaranteed that after the February 20th agreement they would free up the hands of the banks, allowing them to invest more in government bonds and they didn't do it”. 

The Prime Minister also threw a dig at the president of the ECB, Mario Draghi, guilty of having taken the "unorthodox" decision to reduce the possibility of obtaining financing from the ECB for credit institutions.

“3-5 BILLION COULD COME FROM RUSSIA”

Finally, as regards relations with Russia, Tsipras explained that Greece hopes to receive 3 to 5 billion in pre-payments for future profits in the event of an agreement on the Turkish Stream gas pipeline project.

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