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PM: deal with Troika clinched

The deal with the troika of lenders and the government has closed, as Prime Minister Antonis Samaras stated from the Finance Ministry on Tuesday afternoon.

“When all others doubted the achievements in the economy, the government earnestly and united is achieving its mission of getting the country out of the crisis and recession,” stated the PM, adding that “more than 500 million euros will immediately be given to a million Greeks, based on income criteria.” The PM also noted that special attention will be paid to the homeless to the tune of 20 million euros, and said he will announce specifics at a later time.
Mr Samaras also announced that starting 1 June social security contributions will be lowered to 40% from the current 44%, noting that where they paid 100 euros before, now employers will contribute 89 euros and employees 94 euros, relieving mostly SMEs and leading to increase in employment, even within 2014.
The PM also said 1 billion euros will be given to pay the state's past debts to the private sector, with 2.8 billion euros worth of returns in total. Mr Samaras did note that a part of the primary surplus will go to servicing the debt as agreed.

The agreement with the Troika, Mr Samaras noted, contained many agreed upon structural changes that will cause prices to drop and competition to increase, as should have been done a long time ago.On his part, the finance minister, Yannis Stournaras noted that “a difficult negotiation is over. The texts are being drafted and are being finalized.”

Following the finalization of the agreement, Mr Stournaras is expected to fly to Brussels for talks on European bank integration, carrying with him the agreement.