In view of the Eurogroup meeting on March 20th, the Greek government has faith that a staff level agreement will be reached. Greek government officials and the creditors have agreed upon a teleconference schedule for this week. However, the Greek side and the IMF still disagree on labor issues and the decrease in pensions. The IMF demands, among others, that the current collective bargaining status be maintained, that the limit for collective redundancies be raised and that lockouts be reinstated.

The IMF also seems to demand that one-off pension cuts be applied to save on expenditure at a rate of 1% of GDP. However, a convergence on the issue of the tax-free threshold is on the horizon. On its part, the Opposition is accusing the government that it will sign anything to remain in power, while warning that it will not vote in favor of the measures to be brought before the Parliament.