EUROGROUP

Today’s Eurogroup is expected to ratify the conclusion of the fourth review of Greece’s program, present the agreement over the debtrestructuring measures and the post bail-out supervision mechanism. On the later issue, Bloomberg argues that the post-bailout era will include binding targets, compliance reviews, and even disbursements. Accordingly, reviews will be quarterly, fiscal room for the government to shape its own policies will be constrained by “continued engagement with European institutions”, the privatisation plan will have to continue and structural reforms will be safeguarded. The carrot offered for this enhanced surveillance will be annual (or semi-annual) disbursements of profits made on GGBs from the ECB and national CBs.

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