Athens Macedonian News Agency: News in English, 17-05-31

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From: The Athens News Agency at <http://www.ana.gr/>

CONTENTS

[01] Tsakalotos calls for clear-cut solution on Greece's debt

[02] Privatization fund accepts improved bid for extension of Athens' airport concession deal

[01] Tsakalotos calls for clear-cut solution on Greece's debt

"It seems there's wide agreement that Greece has met its commitments concerning reforms," Tsakalotos said adding most sides are amazed by the degree to which the country has kept these commitments, as well as the range and depth of the reforms.

"After such an effort, what the Greek government is asking is clarity on the debt issue. And this was not achieved at the Eurogroup table on May 22. Clarity is very important; it is important for the Greek people, as after many years (…) there's a prospect for a new start. It is also very important for investors. Investors need to know in which way Greece will be able to meet its borrowing obligations in the short and long term. So it is absolutely crucial for growth to have clarity. That is what we are calling for at the Eurogroup meeting in June," he added.

Tsakalotos also spoke about the stance of the International Monetary Fund (IMF), noting that the Greek government is asking for clarity and that in the last Eurogroup it claimed that the measures taken, or which will be taken on debt relief are not enough for make it sustainable.

"The IMF promised to participate in the program on August 2015. It's been two years since then. We've only got 14 months of a program to go. It seems to me that it's time for the IMF to make up its mind on what it wants to do and what it thinks needs to be done," the minister said.

He continued noting that Germany and the Netherlands have indicated they will refuse to lend more money to Greece without the IMF's participation.

"Either because they believed that this would ensure a stricter program or because they believed that European institutions lacked the know-how. If so, then the IMF cannot be good for structural reforms and advice on structural reforms (...) but not have an opinion on the debt relief needed," he explained, adding the two countries must find a compromise with the IMF on debt sustainability.

[02] Privatization fund accepts improved bid for extension of Athens' airport concession deal

AIA's improved offer, submitted late on Tuesday, includes the corresponding VAT. The net proceeds from the privatization program amount to 483.87 million euros. In order to endorse the improved offer, HRADF took into account two independent evaluations and the positive opinion of the Board of Experts.

The total benefit to the State from the extension of the existing concession agreement is a multiple of the aforementioned price.

"It is estimated that the additional expected revenues from the payment of the annual remuneration, already provided for in the concession agreement, will amount to approximately 894 million euros for the total 20-year extension, whereas the estimated revenue from AIA's income tax is estimated to reach 1.47 billion euros," the fund said.

Finally, approximately €835 million is expected by the government as the result of the expansion and the future payment of additional dividends, it added.

At the same time, due to the estimated increase in passenger traffic and the generally expected increase in tourism, it is anticipated that during the expansion period, AIA will be called upon to make a total investment of approximately 2.35 billion euros.

"Equally important is the fact that the extension of AIA's operation will have many other indirect benefits, namely the maintenance and possibly the increase in indirect work positions, as well as the increase in the overall economic activity associated with the operation of the company," HRADF says.

The file on the extension of the concession agreement will be shortly submitted to the Court of Auditors for the anticipated pre-contractual audit. The agreement will be signed following the Court of Auditors' approval.

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