Greece May Need Total 17.9 Billion Euros of Cuts, Real News Says

Greece may have to find a total of 17.9 billion euros ($22.4 billion) in spending cuts over the next two years, Real News said, citing an unidentified senior Finance Ministry official.

Three billion euros in cuts will be needed to fill revenue gaps for this year, while another 1 billion euros in reductions will be needed to cover state-owned companies that are unable to repay state-guaranteed loans to creditors, the Athens-based newspaper said in a preview of an article to be published in tomorrow’s edition.

Those 4 billion euros are in addition to the 11.7 billion euros in cuts to be identified in early September, and 2.2 billion euros of reductions to compensate for projected decreases in tax revenue and social security contributions, the newspaper said.

To contact the reporter on this story: Paul Tugwell in Athens at ptugwell1@bloomberg.net

To contact the editor responsible for this story: Jerrold Colten at jcolten@bloomberg.net

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