NICOSIA - Nicosia’s fiscal policy will come under closer scrutiny today when the Troika begin their second week of microscopic inspection of the ruined local economy.
Only when the money men are convinced that Cyprus is able to pay back its €10 billion loan will the next instalment of cash be forthcoming from the Eurogroup.
Pending fiscal and structural issues will be on the agenda during a meeting of international lenders and Finance Minister Haris Georgiades.
The minister is expected to state the government’s case on the progress it has made in implementing the adjustment, while Nicosia remains optimistic that there will be no substantial problems relating to its deficit and spending targets.
However there are thorny issues which need to be grasped.
They include restructuring pension plans, privatising state-run organisations, curbing benefits and public service reform.