The Greek government, said after the final points of the agreement in the euro zone members, the country is “turn a page”, the plan aims to make its massive debt management more manageable, ends eight years of rescue plan.
“I have to say that the Greek government is satisfied with the deal,” Euclid Tsakalotos, the finance minister, said on Friday. “But at the same time, this government will not forget what happened to the Greek people over the past eight years .”
Government spokesman Dimitris Tzanakopoulos praised “a historic decision” that meant “the Greek people can smile again”. Financial markets rallied, with the country’s benchmark 10-year Treasury note down 0.2 points and its main stock index up 1.6 per cent.
The plan allows Greece to extend and delay repayment of some of its debt for 10 years and provides Athens with an additional 15 billion euros (13.2 billion pounds) of new credit. Tsakalotos said it marked “the end of the Greek crisis I think Greece is Turning a page.
He added that the government “must ensure that the Greek people can see concrete results quickly They need to feel the change in their pockets.
“Greece is once again a normal country and has regained political and economic independence,” prime minister Alexis tsipras told a parliamentary session.
For the first time since he took office in January 2015, Mr. Tsipras has worn a tie — fulfilling a promise he made shortly after the election that he hopes to wear only one when Greece solves its debt problems.
But the main opposition party, the new democracy party, has reacted to the scepticism, saying it has many shortcomings. When asked if he believed Greece won 22 billion euros (19 billion pounds) of the buffer is enough, the party’s Kostis Hatzidakis said that This reflects the international creditors Athens success’s ability to return to the capital market is a lack of confidence.
As Greece is under increased surveillance over the next decade, local reactions have also muted, with most saying they do not think the deal will have any visible impact on their lives.
19 countries in the euro finance ministers of the need to complete the agreement reached between Greece and its international creditors, this will make it to safely on August 20, from the third and final rescue stand out and face the market again.
European commissioner, Pierre said Mr Moscovici, Greece over the past eight years from international lenders funding of 275 billion euros, two crises is close to the euro group, and added: “there has been a meaning sacrifice. But in the end Greece will be Able to take two steps of its own.
But that means Athens’s left-led government will have to stick to austerity measures and reforms, including a high budget surplus, for more than 40 years. Compliance will be monitored quarterly.
Greece since 2010 mainly live on the euro zone loans, at that time, because the budget deficit, huge public debt, poor economic performance, and huge welfare system, it lost its market access to capital.
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Because people are increasingly worried about it will collapse from the euro, the country into an unprecedented decline, now it has just started to recover, the economy shrank by more than 26% in 2010, this year’s economic growth rate of 1.9%.
The crisis has toppled four governments, forcing prime minister Alexis Tsipras to force tough changes to balance the books. Wages have fallen by nearly 20 per cent since 2010, while pensions and other benefits have fallen by 70 per cent. The public sector shrank by 26 %.
Unemployment is down slightly, but still high, at 20 per cent, and learning is is a staggering 43 per cent, sending thousands of young greeks abroad.
Greece accounts for almost 180 per cent of GDP and bears Europe’s highest debt burden. The 320 billion euro debt ceiling is widely seen as the biggest obstacle to economic recovery.
The international monetary fund has steadfastly refused to sign up to the country’s latest rescue package unless eurozone creditors agree to a restructuring that will ultimately make debt sustainable
However, investors have been encouraged by the government’s austerity measures, with Greece’s borrowing costs at about 4 per cent, compared with 24 per cent at the height of the crisis.