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G. Chatzitheodosiou: Relief measures, but a broader crisis response plan is needed

“From the announcements of the government and the specifics of the measures taken by the Ministers, we understand that the government staff has realized the impasse in which households and businesses find themselves due to the sharp wave of price increases,” said in a statement the president of the Athens Chamber of Commerce. Hadjitheodosiou after the announcements of the government for the new measures against accuracy.

“The new support package was imperative as a very large number of consumers – the vast majority I would say – are unable to pay their electricity and heating bills, buy some basic goods and at the same time support the market. This has a very serious effect on the operation. of businesses and mainly of small and medium-sized enterprises “, notes Mr. Hatzitheodosiou and adds:

“Indeed, the announced measures will give a breath and an ‘injection’ of liquidity to the real economy or, as government officials say, will alleviate some of those affected by the precision. But until then. The increase in the electricity subsidy, the extraordinary financial support the most vulnerable or the least cheap fuel – about 40 euros per quarter will be saved by the owner of a car – can in no way be considered measures that will effectively support society and give impetus to overcome the new crisis. Increasing the installments for the repayment of the Advance Payments will temporarily act as a “safety cushion”, postponing the immediate claims to a later time, but it does not solve the problem that companies are facing today. Reimbursable Advances, as a measure of practical support to businesses affected as from the consequences of the pandemic.

We understand the limited financial possibilities of the State for decisive interventions, especially in energy. Of course, the government must also admit that today it is facing a problem that it knew would arise. We disagree with its tactic of combining huge increases in energy with the war in Ukraine. The wave of price increases had appeared on the market since the autumn. The war did exacerbate the problem, but it did not.

We therefore consider it necessary to have a single European emergency plan, and the government must put as much pressure as possible on our partners to implement a policy across the EU that gives hope to households and businesses. Other European countries, especially in the south of Europe, are facing similar problems with Greece and it is time to prove in practice the famous European solidarity. In the next period we will see an even greater increase in inflation and further price increases in basic goods.

What is certain is that mitigation measures and piecemeal actions do not solve the problem. On the contrary, the risk of a pan-European food and humanitarian crisis is growing and visible. “And the priority for everyone must be to eliminate this risk, enabling economies like ours to move forward, not backward.”

Source: Capital

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