Centeno: Pension cuts a fiscal issue, not a structural reform

Mario Centeno, Portugal's Finance Minister and newly elected President of the Eurogroup, holds a news conference at the European Council headquarters in Brussels, Belgium, December 4, 2017. REUTERS/Yves Herman

Eurogroup head Mario Centeno said on Monday that pension cuts in Greece are a fiscal and not a structural issue and that Greece’s budgetary situation is much better now than when the measure was approved.

“Pensions are not a structural policy measure as the pension system has already been reformed. It is a fiscal measure. We all know the fiscal targets that have been set for this year and next and we all know that the situation is much better than it was 19 months ago when this decision was made,” he told journalists after the eurogroup meeting in Luxemburg.

He added that it is important Greece continues to stick to its commitments in order to meet fiscal targets and that in this framework there are two options being examined in the draft budget.