Greece is likely to receive the next batch of its bailout loans in early November, international debt inspectors said on Tuesday, if the eurozone and IMF approve the conclusions of the financial review they have completed.
The inspectors, however, said Greece's deficit targets for 2011 were “no longer within reach,” and that while new austerity measures for 2012 were adequate, more was needed for the years 2013-14.
The report by the officials from the International Monetary Fund, European Commission and European Central Bank, collectively known as the troika, potentially averts a bankruptcy looming over Greece.
But their call for new measures reinforces the view that Europe's strategy in getting Athens out of its debt hole is not working as hoped and that an alternative approach is needed.
“Greece has missed the bus, yet again,” said Vangelis Agapitos, an independent economist in Athens.
The “troika is fulfilling its obligations and Greece, for one more time, is missing its targets on privatizations, on cutting the deficit, on doing the steps necessary to bring the economy into a competitive and efficient mode.”
