Gov’t focus shifts to reforms after Chinese visit

After securing commitments from visiting Chinese Premier Li Keqiang for a boost in much-needed trade and investments, Prime Minister Antonis Samaras is expected next week to shift his attention to the domestic political arena, pressing his cabinet to push through pending commitments to the troika.

Li wrapped up a three-day visit to Greece on Saturday with a visit to Crete following the signing of 19 bilateral deals worth an estimated 6.5 billion euros. The Chinese are interested in a new international airport near the Cretan port of Iraklio along with a series of other Greek state assets up for privatization as part of a troika-mandated reform drive.

Samaras, who accompanied Li on a tour of the island’s archaeological sites, indicated in comments to reporters that the Chinese premier’s visit to the island would spark positive developments. “The benefits for Crete will be very big and you will see them in the near future,” he said, anticipating an influx of Chinese tourists. Overall increased cooperation between the two countries in a range of sectors “will contribute to growth in Greece,” Samaras said at the end of a visit widely interpreted as a success by government officials following the interest expressed by Chinese visitors in Greece’s privatization program.

The troika-mandated sell-off program has consistently missed revenue targets but Greece has even more pressing commitments to honor. A list of so-called prior actions – including the abolition of third-party levies, a reduction in pharmacies’ profit margins and the introduction of a new ethics code for ministers and MPs – must be enforced by the end of next month if the country is to secure two tranches of rescue loans worth 2 billion euros. Authorities are also keen to prove to...