Under threat from the nation’s creditors to move quickly or lose any chance of obtaining a desperately needed new bailout package, Greece’s Parliament approved painful new austerity measures early today, virtually guaranteeing that life would get harder for millions of Greeks.
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Greek prime minister Alexis Tsipras said he didn’t like the austerity deal, but he had accepted it.
Tsipras pleaded for party unity in his speech before the vote, acknowledging that the terms of the agreement were harsh, but insisting that it represented the best choice available to Greece.
Police said at least 50 people were detained. But the Tsipras government’s political survival could be in danger if large numbers of its own lawmakers resign their seats or openly vote against the bill.
But the PM suffered a major mutiny from his lawmakers – 32 out of 149 voted against the measures, and a further six abstained – and had to rely on the support of pro-European opposition parties.
“I am Prime Minister because I have a parliamentary group that supports me”. The eurozone’s top official says it’s not easy to fin…
Finance ministers from countries using the euro currency were planning a conference call to consider rescue financing for Greece, while the European Central Bank will mull a request from Athens to increase emergency assistance to troubled Greek banks that have been closed since June 29.
Protesters grew violent outside parliament as the debate raged, with petrol bombs thrown at riot police and several arrests made. Calm returned later but nearby streets were empty and garbage bins were still burning.
In a late night vote in Athens, MPs have pushed through further austerity in order to begin negotiations with creditors and release billions of euro of bailout funds.
The junior ministers of defence and labour also opposed the deal.
It will take an estimated four weeks for Greece to access new bailout loans, leaving EU finance ministers scrambling to find ways to get Athens some money sooner.
Snap elections in Greece could happen in September or October, Hardouvelis added.
Energy Minister Panagiotis Lafazanis and Deputy Labor Minister Dimitris Stratoulis voted against the package.
Berlin, which along with the other creditors knew about the International Monetary Fund study before agreeing to new bailout talks, may wince at providing huge debt relief to a country it scarcely trusts to honour its promises.
In addition, a handful of other eurozone countries, including Germany and Finland, also need approval from their parliaments.
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“Technically, this possibility exists”, said finance ministry spokesman Martin Jaeger when asked about the option of extending the maturities of Greek debt to 30 years or so.
