Τετάρτη, Ιουνίου 29, 2011

Greece faces ‘fire sale’ shortfall



George Provopoulos, the Bank of Greece governor, said the four-year austerity packagea to be voted on Wednesday by the Greek parliament puts too much emphasis on tax increases and not enough on spending cuts.
Further questions have arisen, meanwhile, over sources of revenue for the state from its planned “fire sale” of assets – aiming to raise €50bn ($72bn) by 2015.

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The austerity measures call for an independent privatisation agency to be established within weeks to handle a programme of disposals, including the sale of strategic stakes in state- owned utilities and leases in state-owned property for tourist development.
Independent research suggests, however, that Greece will struggle to raise much more than a quarter of the €50bn it needs from the assets sales and privatisations unless it adds more prime land and cultural heritage to its sales list.

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