Greece, EU, IMF agree on key labor reforms

Greece has agreed with its lenders, including the EU and the IMF, on key labor reforms, spending cuts, and energy issues. They moved closer to clinching a deal before a meeting of euro zone finance ministers next Friday.

Greece will cut pension spending by up to 1 percent of GDP in 2019 and lower the tax-free threshold, which will raise roughly another 1 percent of GDP. Athens agreed to adopt these measures to help convince the IMF to participate in the bailout sought by the EU.

Greece has been running three bailout programs since 2010, worth 92 billion USD to avoid bankruptcy. The third bailout package was approved in 2015 in return for pension reforms and equitization of state-owned enterprises.

Source: VOV5