Anti-Poverty Bill Erodes Trust Between EU And Greece Even Further
Greek lawmakers elected to pass an anti-poverty bill on Thursday, despite requests from the nation's creditors that the voting process be postponed.
The bill, which provides low-income families with electricity and food stamps, is expected to cost Greece approximately €200 million at a time when the nation is supposed to be cutting back in order to meet bailout requirements.
Tensions Running High
Thursday's vote marks yet another snare in the negotiation process, as Greece and the EU struggle to agree on mutually acceptable bailout terms. Though Greece was given a financial lifeline back in February, the two sides must agree on Greece's economic reform plans before Athens receives any more cash.
However, since the agreement made in February included no specific figures, the two sides are having a difficult time meeting in the middle.
Related Link: Eurozone Rally Takes The Pressure Off Greece, But Not For Long
Tsipras Dismisses Calls For Austerity
Ahead of the vote, Prime Minister Alexis Tsipras defiantly claimed that Greece would continue making decisions that were best for its people, regardless of what international creditors want.
He said the anti-poverty bill was a much needed departure from years of austerity cuts and pledged to reverse EU-enforced spending cuts and reopen the state's broadcasting firm.
Patience Is Thin
Meanwhile, EU lawmakers are becoming increasingly frustrated with the progress of the bailout negotiations. On Wednesday, German Finance Minister Wolfgang Schauble warned that time to reach a deal was quickly running out. His comments came shortly after reports that the talks had made little progress.
More Talks Ahead
On Thursday, Tsipras will meet with his counterparts from Germany and France, as well as the ECB's Mario Draghi, EU Commission President Jean-Claude Junker and head of the eurozone finance ministers Jeroen Dijsselbloem in an effort to move negotiations forward.
However, based on this week's rocky events, many are beginning to worry that the nation will be unable to secure its next installment of bailout funding.
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