Friday, June 10, 2011

Greece OK's new austerity measures



Greek Prime Minister George Papandreou

Source: Press TV
http://www.presstv.ir/detail/183998.html

New austerity measures have been approved by the Greek government in a move to save the country's economy from collapsing under a mountain of debt.

At a six-hour cabinet meeting on Thursday, Prime Minister George Papandreou appealed for unity over the measures he presented and backed fresh austerity measures including a wave of privatizations, AFP reported.

"We are at a crucial juncture... I will insist that this plan is approved with a big majority... and I will invite all the parties in parliament to a dialogue and to cooperation," Papandreou said.

Finance Minister George Papaconstantinou also told reporters the cabinet approved the mid-term plan and submitted it to parliament.

The new wave of austerity measures was called for by the European Union and the International Monetary Fund (IMF) after they offered Greece a 110-billion-euro ($160 billion) bailout loan package last year.

The renewed austerity measures for 2012-2015 suggested would yield an estimated 28.5 billion euros of savings, including 6.4 billion euros this year.

The overall plan is designed to help Athens regain access to borrowing markets but investors remain unconvinced and credit rates have risen instead of falling.

The eurozone's chief policy maker Jean-Claude Juncker told journalists in Luxembourg, "It is obvious that there will be a second program for Greece on top of last year's 110 billion euros."

"I am in the middle of negotiating a global solution for Greece," he added.

The EU and the IMF have demanded proof of reforms before approving further aid, which could be more than 90 billion euros from a mixture of new loans, Greek asset sales, and rolling over privately-held Greek debt.

The IMF has also threatened to hold back its next scheduled slice of loan funding -- part of an overall 12-billion-euro installment Athens needs to pay next month's bills -- if Europe cannot provide a long-term solution to Greece's woes.

In Frankfurt, European Central Bank chief Jean-Claude Trichet insisted there should be no debt restructuring for Greece.

With unemployment running over 16 percent in Greece and first quarter economic growth of just 0.2 percent, social and political tension is rising with every turn of the budgetary screw.

No comments:

Post a Comment

Thanks for commenting on this post. Please consider sharing it on Facebook or Twitter for a wider discussion.

Russia Today (Live)

World News 2017

South Front Military Review 2017

Syria - News 2017

US News 2017

The Russian Perspective

Debate – Global Issues 2017

Current Affairs - Important Interviews – 2017

Important Information 2016 - 2017

Yemen News 2017

Turkey News 2017

Ukraine News 2016 - 2017

Palestine & Israeli Crime 2017

Iraq News 2017

Iran News 2016 - 2017

Important Documentaries

Viewpoint, Discussion & Opinion - 2017

Abby Martin – Empire Files

Global Economic News 2017

Egypt News 2016 - 2017

Libya News 2016 - 2017

Bahrain News 2016 - 2017

Sheik Imran Hosein - Islamic Eschatology

George Galloway – Comment & Opinion

English FA Cup 2016 – 2017

New Age Weather

Space News

Music for the Revolutionary Mind

Global Revolution LIVE!

Watch live streaming video from globalrevolution at livestream.com

Japan’s 3 Nuclear Meltdowns STILL ongoing (News Censored)