Puppet Government

The Financial Times reports Memo Reveals Extent of Control Bailout Monitors Will Have on Greece.

The 29-page memo details what Greece will have to do in order to get a third bailout program. The memo covers damn near every aspect of Greek finances, effectively making the Greek parliament a puppet government of Germany.

Devil Details

The Greek government will have its hands bound on everything from overall budget planning to drug pricing, tourist rentals, farmers' fuel tax breaks and the finer points of personal bankruptcy.

Greece must eliminate recent cross-border withholding taxes.

Overhaul the tax administration.

Progressively raising the pension age to 67.

Cut pharmaceuticals prices.

Reverse recent protective labour laws.

Open up a range of sectors to fuller competition.

Liberalize energy supplies for consumers by 2018.

Commit to a broad range of fiscal, financial, regulatory and pensions reforms.

A task force will decide how to setup a €50bn privatization fund, with specific demands coming out in December.

Greece must go from a primary account deficit of of 0.25 percent this year to surpluses of 0.5 per cent next year, 1.75 percent in 2017 and 3.5 percent in 2018 and beyond.