Budget target is all but waived

The target for a primary budget surplus of 3.5 percent of gross domestic product does not apply anymore, Finance Minister Christos Staikouras assured after Monday's Eurogroup teleconference, as the eurozone finance ministers aimed at maximum flexibility to tackle the impact of the coronavirus epidemic.

According to sources, Greece is expected to spend an additional 1.8 billion euros of European subsidies in coronavirus-related expenditure, and will obtain extra leeway in its budget for similar spending and as a result of the projected rapid decline in revenues.

"The drop in state revenues and the strengthening of spending on employment due to the shrinking of economic activity will be taken into account for all member-states, in the fiscal rules, the targets and requirements, thereby reducing them," Staikouras explained.

"It was also agreed that the budgetary...