Greece must do more to tackle debt crisis, EU says

“I am asking the Greek government to announce new measures in the coming days,” Rehn told reporters after talks with Finance Minister George Papaconstantinou.

For his part, Papaconstantinou said plans to deal with Greece’s debt burden involved “dangers and risks and some of these dangers are now visible” but the government would not waver in its commitment to reducing the deficit.

“The government will do whatever it takes, including new measures so that the target for reducing the budget deficit by four percent this year is observed unwaveringly,” he said.

The two men discussed reforms to the pension system, the budget and the statistics service, he added.

Prime Minister George Papandreou earlier called on citizens to bear the pain required to put the country back on track, saying corruption and impunity were at the heart of its problems.

“The crisis in our country is not limited to our fiscal problem. It is only the tip of the iceberg,” Papandreou said in a televised address to the cabinet.

“Today we ask Greek men and women to enlist in our common cause to save our country and the overwhelming majority of our citizens are willing to do it despite the price and despite the burden.”