Tenth austerity package (Greece)

Tenth austerity package - July 2015 measures
Hellenic Republic
1. Urgent prerequisites for the negotiation and conclusion of an agreement with the European Stability Mechanism (E.S.M) (Law 4334/2015) 2. Urgent measures for the implementation of Law 4334/2015 (Law 4335/2015)
Territorial extent	Greece
Enacted by	Hellenic Parliament
Date passed	1. 15 July 2015 (For: 229; Against: 64; 6 Abstentions) 2. 22 July 2015 (For: 230; Against: 63; 5 Abstentions)
Date assented to	1. 16 July 2015 2. 23 July 2015
Date commenced	1. 16 July 2015 2. 23 July 2015
Introduced by	Government of Greece
Status: In force

Since late 2014 The Greek economy has been on terminal decline. The main reason was a result of political instability due to the Greek presidential election. The parliament failed to elect a president and the Cabinet of Antonis Samaras collapsed. The election took place on 25 January 2015 and the left-wing party Syriza won the election. The new government tried to follow an anti-austerity politics with whom the European administrative bodies had disagreed. At the first quarter of 2015 the Greek economy returned to the recession.^[1][2] The deterioration of economy and the deficiency of cash forced the Greek government to agree with European institutions to receive a bailout, the Third Economic Adjustment Programme for Greece known as Third Memorandum. This bailout required the Greek parliament to approve a new austerity package.

First set of measures

The first round of measures was approved by Greek parliament on 16 July 2015. The Greek parliament voted the ratification of the eurozone summit statement. The measures include:^[3][4]

• Transfer of many products in the high rate VAT (23%). 13% rate covers fresh food, energy bills, water and hotel stays. 6% rate covers medicines and press.
• Abolition of the VAT discount of 30% for the most touristic Greek islands, after 1 October 2015.
• Rise of tax of solidarity for incomes over €50.000
• Corporation tax rise from 26% to 29% for small companies
• Luxury tax rise
• Rise of health contributions paid by pensioners (6% from 4% )
• End to early retirement by 2022 and a retirement age increase to 67

Second set of measures

The second set of measures voted on 23 July 2015. It's about changes of Code of Civil Procedure.^[5][6]

See also

• First austerity package (Greece)
• Second austerity package (Greece)
• Third austerity package (Greece)
• Fourth austerity package (Greece)
• Fifth austerity package (Greece)
• Sixth austerity package (Greece)
• Seventh austerity package (Greece)
• Eighth austerity package (Greece)
• Ninth austerity package (Greece)
• Eleventh austerity package (Greece)
• Greek government-debt crisis

References

1. "Greece Back in Recession as Bailout Impasse Drains Economy". bloomberg.com. Retrieved 23 July 2015.
2. "Economy staring at recession again". ekathimerini.com. Retrieved 23 July 2015.
3. "Greece debt crisis: Eurozone deal laws backed by MPs". bbc.com. Retrieved 23 July 2015.
4. "Αυτά είναι τα σκληρά μέτρα του νέου μνημονίου". protothema.gr. Retrieved 23 July 2015.
5. "Greek parliament votes on second set of bailout measures". euronews.com. Retrieved 23 July 2015.
6. "Parliament approves fast-track procedures 3rd bailout deal measures". protothema.gr. Retrieved 23 July 2015.