Greek government tries hard to avoid pension cuts

Cancelling Pension Cuts

Cancelling Pension Cuts

In it's draft budget for 2019 the Greek government is offering alternatives in a desperate bid to avoid controversial pension cuts previoulsy ordered by the European Commision.

According to European sources both the Commission and the Tsipras government are close to an agreement which could see the approval of its draft budget for next year.

The draft budget review is a process all eurozone countries have to submit to. In Greece's case, negotiations are focused on the government's alternatives to cutting back pensions, a measure that otherwise kicks in on January 1. According to the sources, negotiations also include other positive measures the government wants to implement and the fiscal ability it has to do so.

Both sides hope to present a joint position before Thursday's EuroWorking Group, which will prepare the November 19 Eurogroup.

The Commission is expected to present its formal opinion on all draft budgets for EU member-states on November 21.