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AP Photo/Dimitri Messinis

Greece has found enough cash for the IMF - by not paying its people

Workers and government suppliers have reported major delays in getting their money.

GREECE HAS MET the deadline for the first of two interest repayments due to the IMF this month amid claims the country has been running in “de facto domestic default” for months.

The country’s finance ministry said today it made the €200 million payment ahead of a another, €750 million interest bill falling due on Tuesday.

It comes as Greek leaders try to strike a deal with the nation’s EU-IMF creditors that would unblock €7.2 billion more in bailout funds for the cash-strapped country.

The talks have hit a roadblock over what policy changes, from slicing the country’s pension bill to trimming its public service and lifting taxes, the anti-austerity Syriza government will agree with lenders.

The Greek administration yesterday pointed the finger at its creditors for having “serious divergences and contradictions” that were holding up the negotiations.

Europe Migrants Summit Greek Prime Minister Alexis Tsipras (right) with European Commission President Jean-Claude Juncker AP Photo / Geert Vanden Wijngaert AP Photo / Geert Vanden Wijngaert / Geert Vanden Wijngaert

Domestic default

But despite the government insisting it would continue to make its payments on time, news emerging from the troubled economy suggest it’s already in far worse trouble than would appear.

The BBC reported some state-funded workers were months behind on their salaries, while the government was also putting off paying medical staff for their on-call time.

Government contractors from book publishers to military suppliers complained they were being told to wait before they got their money.

Everyone in my sector used to fight hard to do business with the state: it was profitable and safe,” one said. “Now, the government is the worst customer.”

Europe Economy AP Photo / Yorgos Karahalis AP Photo / Yorgos Karahalis / Yorgos Karahalis

Sacked workers re-hired

Meanwhile, the Greek government has overturned laws that led to about 13,000 civil servants in jobs like the municipal police force, cleaning and school caretaking being sacked, the Financial Times said.

It also axed annual appraisals in the public service and merit-based promotions, with government minister Giorgos Katrougalos declaring the move “a Band-Aid to repair the most extreme injustices and restore legality to the system”.

The cuts were brought in by the previous government as part of its €240 billion bailout deal.

- With AFP

READ: Germany has no cash and no trains >

READ: Australia’s economy is in for a rocky ride >

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116 Comments
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    Mute Audrey Flanagan
    Favourite Audrey Flanagan
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    Nov 2nd 2013, 10:00 AM

    Very very cool, that a must have for reading list!

    102
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    Mute Mick Stafford
    Favourite Mick Stafford
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    Nov 2nd 2013, 10:15 AM

    There’s another hidden, possibly undiscovered gem in my mate Eds wallet…. No it’s not a condom! It’s a twenty euro note that’s never seen the inside of a pub – the tight arse!!

    36
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    Mute Richie Rodgers
    Favourite Richie Rodgers
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    Nov 2nd 2013, 10:44 AM

    Mick
    There are two things in life that cannot be hidden. One is an education and the other is the absence of one!

    49
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    Mute Mick Stafford
    Favourite Mick Stafford
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    Nov 2nd 2013, 10:52 AM

    Yawn….

    8
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    Mute Dom AcePlazo
    Favourite Dom AcePlazo
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    Nov 2nd 2013, 10:07 AM

    An absolutely fabulous read and journey into Ireland’s past.

    36
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    Mute John Mack
    Favourite John Mack
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    Nov 2nd 2013, 12:26 PM

    Tarquin ,hope your reading the comments.. looking up the ISBN which is missing from the above Article I note that the Eason’s Family have put a RRP 38.99 euro (hope you getting a larger percentage from the over price bookstore) and sale price of 29.99. (sorry I just hate when an Irish company goes out of their way to squeeze more money from customers buy altering their prices.)

    and your publishing website has it for RRP of 29.99 and sale price of 23.99 So I’ll be ordering from them. :)

    I hope to enjoy the read, looks like a good book.

    ISBN number is 9781848891852 for those who wish to buy the book.
    http://www.collinspress.ie/ancient-ireland.html

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    Mute Jane Travers
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    Nov 2nd 2013, 12:46 PM

    Thanks John, I’ll be asking Santa for that :)

    8
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    Mute Oliver Walker
    Favourite Oliver Walker
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    Nov 2nd 2013, 11:45 AM

    People 1000 years from now will always wonder who the statues are of when they look at Mick Wallace twerking against Luke Flannigan outside what was Supermacs

    26
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    Mute Shane Leonard
    Favourite Shane Leonard
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    Nov 2nd 2013, 10:02 AM

    Turoe Stone, Bullaun Co. Galway also.

    25
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    Mute Kerry Blake
    Favourite Kerry Blake
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    Nov 2nd 2013, 10:38 AM

    Interesting book something for the Christmas wish list.

    20
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    Mute Geraldine Keating Henebry
    Favourite Geraldine Keating Henebry
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    Nov 2nd 2013, 10:36 AM

    Darby’s Bed, Galbally,co.Limerick

    14
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    Mute Zoe Daly
    Favourite Zoe Daly
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    Nov 2nd 2013, 12:34 PM

    utterly gorgeous book, with stunning photography
    will be definitely on the Christmas list!

    12
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    Mute Steve M
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    Nov 2nd 2013, 11:09 AM

    What will be left of us in 1000 years time? What mark will this generation has left on history.

    11
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    Mute philip farrelly
    Favourite philip farrelly
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    Nov 2nd 2013, 10:57 AM

    Cumhaill

    5
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    Mute Ron Burgundy
    Favourite Ron Burgundy
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    Nov 2nd 2013, 5:34 PM

    There’s a ‘mini’ Newgrange in Knockroe, Windgap, Co. Kilkenny.

    4
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    Mute Niall Quinlan
    Favourite Niall Quinlan
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    Nov 2nd 2013, 1:57 PM

    What’s the fort on the front?! I think it’s cahersiveen county Kerry but I’m not sure!

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    Mute Deirdre Mac Mahon
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    Nov 2nd 2013, 10:20 PM

    yes Caherciveen, bravo!
    impressive!

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    Mute Dave O'Hanlon
    Favourite Dave O'Hanlon
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    Nov 2nd 2013, 12:30 PM

    Do what look like late medieval abbeys and castles qualify as ancient?

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    Mute captain morgan
    Favourite captain morgan
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    Nov 2nd 2013, 11:32 PM

    Good bit o rain today

    1
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