Date Published: 12:33:22 PM Friday, 24-January-2020
In 2010, Greece, under the pressure of an increasing public debt, was forced to resort to the Troika, which is the designation of the triumvirate which comprises the European Commission (EC), the European Central Bank (ECB) and the International Monetary Fund (IMF).The Troika agreed to provide Greece with financial help, on special terms recorded in a Memorandum of Understanding (MoU) between the Greek Government and the Troika. One of the most important reforms that are recorded in the MoU is the Pension Reform since the Greek Social Security System had long showed signs of unsustainability and insolvency. The reforms implemented had a great positive impact on pension expenditure, which was drastically reduced when projected until 2060. The projected reduction when taking into account all reforms until 2015, starting from 2009, exceeds 14% of GDP.