Greece: Athens faces moment of truth, EU's Barroso says

Greece faces a "moment of truth" as the government battles to win a vote of confidence, EU Commission President Jose Manuel Barroso has said.

The vote is a first step towards gaining a vital 12bn euro ($17bn; £10bn) loan from the EU and International Monetary Fund (IMF).

Greece needs the loan to pay its debts.

If the government survives the vote, Greece's parliament will be asked to back the latest spending cuts - worth 28bn euro - on 28 June.

The EU and IMF will only release funds once the austerity measures have been voted through.

"No-one can be helped against their will," Mr Barroso said in Brussels.

"Next week is the moment of truth, where Greece needs to demonstrate that it is genuinely committed to the ambitious package of further fiscal measures and privatisations put forward by Prime Minister Papandreou's government."

Protesters against the austerity plan have again gathered in Syntagma Square in Athens, in front of the Greek parliament.
Mass demonstrations

Tuesday's vote of confidence is on the new Greek cabinet, which Prime Minister George Papandreou put in place last Friday.

Mr Papandreou hopes the new cabinet, and specifically the new Finance Minister, Evangelos Venizelos, will help secure parliament's backing for further austerity measures that are already proving deeply unpopular with the Greek people.

At the weekend, eurozone finance ministers decided to postpone their decision on whether to grant Greece the 12bn euro loan until the country introduces the additional spending cuts and privatisation programmes.Greece needs this aid - the latest tranche of the EU and IMF's 110bn-euro aid package - by July to be able to keep up with payments to the creditors of its huge debts, which amount to 30,000 euros per person.

If the Greek parliament does back the austerity measures, the eurozone finance ministers will meet again on 3 July, with the funds expected to be released by the middle of next month.

However, lawmakers are having to ponder their decision in the face of mass demonstrations, strikes, and even riots.

The latest protest against the cutbacks involves workers at Greece's state-owned electricity company, who are on a 48-hour walkout.

BBC Europe editor Gavin Hewitt, who is in Athens, says ministers have argued that without further austerity measures in exchange for a new bail-out, Greece is heading for bankruptcy, but many Greeks appear to prefer that option to further austerity.Mr Venizelos said the decision of the eurozone finance ministers to delay the loan showed that urgent action was now needed. "We have plenty to do," he said.

Some believe Greece should simply give up trying to pay its colossal debt, which is worth 150% of its annual GDP output. That would mean it having to leave the 17-member euro group of nations.

The Conservative MEP, Daniel Hannan, said the bailout would not help the people of Greece: "This is not assistance for Greece, it's not how anyone there sees it. They understand perfectly well what the bail-out means, which is that the money will go to European bankers and bond holders, but the repayment will come from Greek taxpayers. So far from being helped, Greece is being sacrificed to save the euro."

Olli Rehn, the European Union's Monetary Affairs Commissioner, urged Greece to continue with its austerity measures.

"The greatest weight of responsibility lies on the shoulders of the new Greek government," he said.

Mr Rehn added that the situation in Greece was the worst crisis Europe had faced "since the Second World War".

IMF mission

A new aid package for Greece, about the same size as that passed in May last year, was also agreed in principle by EU finance ministers on Sunday.The new package, to be outlined by July, will include loans from other eurozone countries.

It is also expected to feature a voluntary contribution from private investors, who will be invited to buy up new Greek bonds as old ones mature.

Officials said this money had to be freely given, or it would be seen as technical default on Greece's debt repayments.

If Greece were to default - or seen to be in default - it would mean massive losses for European banks that hold Greek debt, including the European Central Bank.

Officials said the new plan was expected to fund Greece into late 2014 and total about 120bn euros.

Inspectors for the EU and IMF are making another visit to Athens on Tuesday in what the European Commission said would be a "technical mission".

The visit, which comes after teams from both bodies have spent months poring through the country's accounts, is unscheduled, and the Commission did not say what its objective would be.
Cheap Car Insurance Opening the Book Safe Chemical Act Presspeople System Software Plan Life Insurance Top Best Home Improvements Cheap Car Insurance Auto Parts and Service Swiss Business Acting in Real Time Fitness Equipment Tips Bodybuilding Tips Search Engine Optimization Cardio Tips Home Solution Real Estate Financing Lucepedia Sports and Fitness Train Now Business Economy Global auto car loans car loans insurance Health Information how to prevent diabetes Best Credit Cards Cheap Wedding Dresses Small Business Finance Systems Body Health Home Improvement Services Guide Android Apps and Games fashion design Alcoholism Android Phones Board Games Cheap Tickets and Vacation Packages Online Prevent Child Obesity Prevent Premature Ejaculation Labor Lawyers Home Interior Design Ideas plumbers and carpet cleaning service diet and slimming Beautiful Picture Doctors Dental Care music video art BurningPedia Guide Planning Home Improvement Beauty Cosmetic Web Development Company lawyer requirements Books On Children Education security innovation work iPhone and iPad Turkey The Medical School Barbecue Electric The Linux Documentation Project Mental Health Care New Car Buying Guide House Curtains Dentist All System Education iPhone Specifications Cloud Trading Strategy mortgages and loans Pharmaceutical Info Online Application Service Provider The Masterchef Business Service Delivery Arts and Entertainment Pokerstars Real Money The Masterchef Electric Motors Gadgets Technology Casino Zone Small Business Solutions Home Advice Fashion Design Clothing Adventure Games Health and Fitness Hospital Equipment Plan Life Insurance public transportation services Prevent Premature Ejaculation Best Professional Carpet Cleaning Web Hosting Vehicle Emissions Inspection Drug Abuse Collection Travel Agency Medical Herbs color vision casting Aromatherapy Tips community film Cardio Tips Top Best Home Improvements Article Marketing Colon Cleanse Tips Terms and Conditions of Sale Products for Treating Acne Scars Natural Beauty Products Seo Web Marketing Business Prospects Trade Online Tool House Cleaner Bathing Equipment Financial Solutions Credit Loans Business Insurance Best Supplements Online Affiliate Marketing Web Design Jobs Online Business Degrees Travel and Leisure Hotel Business Online Payment Processor Women Management Criminal Law Marketing Product Webdesign Transportation Services The Marketing Business Prospects Trade Online Shop bed furniture free movies online Direct Hardware Supply Free Download PDF Technology Ipad doctors Specials Medical Dictionary Legacy Landscape Bank South Pacific Carpet Cleaner Best Internet Business Seo Web Marketing Doctor Healthy Doctors Diet Program Health Benefits of Drinking Water ups pills drugs Best Supplements dynasty fine jewelry Ceramic Floor Tile Online Business Degrees Property Residential and Commercial Real Estate All About Medical Bankruptcy Prevent Child Obesity Handbag and Shoes Education of Children physiotherapy school Cheap Airline Tickets Healthy Life PET online Interzoo Rehabilitation Center electric hybrid vehicles Baidu Software Center Automotive Advertising Agencies Health and Care Virtual private network Student Education Technosound Wedding Dresses excel archives Classic Car Restoration Defense Audit Banking Travel and holiday Forex Trading Jobs Drug Abuse Online Lottery Games Drug Abuse Health and Fitness Health and Fitness free music downloads Law Reports Wallpapers Artist online shop originals Product Auto Parts Web Developer online shop originals Product Insurance Company Health Life Technology System Home Security Beauty Cosmetic Online Travel Agency Linux Tips Guide Shooting Simulator Gadgets Technology Project Build Houses Payday Loans Health News Information Animals Shop Travel Agency North Owl Network Dentist Healthy Aging asian pretty The Tool Hospital Barbecook Best way to make Money with Forex Trading Green Home Design Online Lottery Party Clothing lawyer salary information auto car loans and insurance European Education Technology Terms The shirts and Jackets Design Capital One Credit Cards Commercial Real Estate travel channel and rental cars Pharmacy and drugs naura lagi mandi Nauraa Naura naura berhijab 1 naura berhijab Naura Mandi Bola Naura Single Photo

Blog Archive