Greek PM faces opposition to deal at home
Following an emotional debate and early-morning vote, the country’s parliament approved a raft of austerity measures that its global creditors had demanded as a first step before negotiating a final rescue deal. A total of 64 MPs voted No and six abstained.
Greek premier Alexis Tsipras is facing a revolt over the reforms from his radical left ruling Syriza party, which came to power in January on anti-austerity promises.
Police estimated that 12,500 people were demonstrating in Syntagma Square outside Greek parliament.
Prime Minister Alexis Tsipras said that he disagrees with the measures, but that it is the only was to receive bailout money from the rest of Europe, Al Jazeera reported.
Among the 38 Syriza rebels was former Finance Minister Yanis Varoufakis, who denounced the bailout deal as “a new Versailles Treaty”- the agreement that demanded unaffordable reparations from Germany after its defeat in World War One.
Meanwhile, sporadic violence erupted in central Athens as riot police fired teargas and fought running battles with anti-austerity protesters armed with molotov cocktails.
219-c-14-(Derek Gatopolous (ga-TAHP’-oh-lihs), AP correspondent)-“from the opposition”-AP correspondent Derek Gatopolous reports an austerity plan has been passed by Greek lawmakers””.
The government described the vote as marking a “serious division” among its lawmakers, and indicated that dissenters in Tsipras’ Cabinet would be swiftly replaced.
The PM also filled the posts of the junior ministers of finance and foreign affairs, who had resigned during the week over the bailout deal, which over half of Greeks had rejected in a referendum.
Independent eurozone analyst Yannis Koutsomitis say that he expected a government reshuffle following the vote, as two or three ministers had voted against the bill. The rally turned violent and several hundred youths attacked police, torched cars, and smashed office displays.
The bank was responding to a request from Athens to increase emergency assistance to the country’s banks that have been closed since June 29.
Other countries that use the euro, along with the European Central Bank and International Monetary Fund, have all pitched in by lending the country roughly 233 billion euros ($255 billion) in bailout loans since 2010.
Eurozone nations are giving Greece a bridge loan worth 7 billion euros to pay off some very pressing debts.