Protests Turn Violent In Greece

We are certain to encounter problems in the years to come.

‘I don’t know if we did the right thing. Greeks would still be limited to withdrawing 60 euros a day from their accounts – about $67 – but they would not need to line up at ATMs every day to do so.

Now eurozone finance ministers have agreed in principle to extend a €7bn bridge loan to Greece to tide the country over until the start of a three-year aid package worth as much as €86bn.

“If the four biggest systemically relevant banks in a country no longer work, this has grave consequences not just for Greece (…) but also for the whole eurozone”, he said.

“We will be repaid, as well as the International Monetary Fund“, Draghi said.

On Thursday, Finland’s parliament approved providing an EU-wide loan to Greece. “Schaeuble”, he said, “If you reach an agreement after such long and hard talks, you have to stand behind it, and that goes for all sides”.

The government, a coalition between Syriza and the small right-wing Independent Greeks, holds 162 seats in Greece’s 300-member Parliament.

The new Athens rescue plans have been roundly criticized in Germany, raising the risk that Merkel might face a rebellion from within the ranks of her conservative political bloc from those opposed to pumping more money into Greece when lawmakers vote on the programme.

The package of measures, which had to be approved to open talks on a new multibillion euro bailout, was passed with 229 votes and 64 against in the 300-seat chamber.

A little more than a quarter of the 149 lawmakers from Tsipras’ radical-left Syriza party either voted against or abstained in Wednesday’s vote. Greeks voted overwhelmingly to reject those proposals.

The legislation, which includes consumer tax increases and pension cuts, was demanded as a precondition to the launch of negotiations on a third bailout.

Draghi himself said that when exactly capital controls will be lifted is “hard to predict” but is “clearly in the interest of the Greek economy”.

Greece was then forced to shutter the banks after panicked savers pulled billions out of their accounts.

A central bank official said the Bank of Greece was working with the finance ministry and examining all possibilities so the banks could open as soon as possible.

Upon the completion of the relevant national procedures and the formal decision by the ESM Board of Governors, which is expected by the end of this week, the institutions are likely to negotiate a Memorandum of Understanding (MoU) detailing the policy condition attached to the financial assistance facility.

It was the first significant protest violence since the left-wing Syriza government came to power in January promising to repeal bailout austerity.

Tsipras, who was elected in January on promises of repealing bailout-related austerity measures, has acknowledged the deal tramples on most of his election pledges, but insists he had no other option than to accept the harsh terms offered by lenders to ensure his country’s financial system didn’t collapse.