Greece is gonna burn to the Ground

They are getting their bailout but this is what they must do as part of the agreement.

˜An increase in the retirement age from an average age of 53 to 67;#
˜Government workers to lose annual bonuses worth an extra two months' pay;
˜Ten per cent tax rise on alcohol, cigarettes and petrol;
˜Three-year wage freeze in the public sector;
˜Early retirement will be limited or abolished altogether;
˜VAT increase from 21 per cent to 23 per cent.


http://www.dailymail.co.uk/news/worldnews/article-1270415/Collapse-salvation-stark-choice-faced-Greece-faces-26billion-budget-cuts-TWO-years.html

£95bn bailout for the Greeks agreed in largest ever financial bailout of a country
By MAIL FOREIGN SERVICE
Last updated at 11:23 PM on 2nd May 2010

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Debt-ridden Greece yesterday agreed the largest ever financial bailout of a country.

It will receive 110billion euros (£95billion) from the European Union and IMF in return for deep cuts in government spending to reduce a huge budget deficit.

Announcing the deal yesterday, prime minister George Papandreou told his people to prepare for 'great sacrifices' after violent clashes between police and protesters opposing the cuts at the weekend.

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the Greek prime minister George Papandreou and the Greek finance minister George Papaconstantinou head for a Cabinet meeting inside the parliament in Athens this morning


He unveiled austerity measures and tax rises worth 30billion euros (£26billion) including:

˜An increase in the retirement age from an average age of 53 to 67;#
˜Government workers to lose annual bonuses worth an extra two months' pay;
˜Ten per cent tax rise on alcohol, cigarettes and petrol;
˜Three-year wage freeze in the public sector;
˜Early retirement will be limited or abolished altogether;
˜VAT increase from 21 per cent to 23 per cent.
Eurozone finance ministers yesterday met in an emergency session in Brussels to approve the three-year aid package before Athens is due to make a large repayment to commercial creditors later this month.

<p>'It is an unprecedented support package for an unprecedented effort by the Greek people,' Mr Papandreou told a televised cabinet meeting.

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A riot policeman jumps over metal railings after being set on fire by protesters throwing petrol bombs druing a demonstration yesterday Colleagues rushed over to him to put out the flames

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As a petrol bomb explodes at their feet, policemen leap out of the way at a May Day rally in Athens


Germany will contribute 8.4billion euros (£7.3billion)in the first year of the deal and chancellor Angela Merkel has promised to secure swift parliamentary approval for the contribution despite strong opposition in her country.

'I'm going to work for the Greece programme and its passage,' she said.

Greeks took to the streets in violent protests against the austerity drive at the weekend and there were signs of further unrest last night as a bomb exploded outside the Athens branch of HSBC.

Past governments have shied away from spending reforms to defuse often violent protests from the country's left wing.

But Papandreou, a Socialist with a strong personal approval rating, has insisted the country must face up to its dire financial situation.

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A demonstrator throws a stone to riot police during the Athens protest

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Demonstrators and police fight outside the Greek Parliament during a May Day demonstration to protest against impending austerity measures

'These sacrifices will give us breathing space and the time we need to make great changes,' he said. 'I want to tell Greeks very honestly that we have a big trial ahead of us.'

The first rescue of a member of the 16-nation eurozone is designed to stem a debt crisis that has shaken financial markets worldwide and spread to other struggling eurozone countries such as Portugal and Spain.

There are also fears the crisis of investor confidence could infect the UK and other countries with large budget deficits.

The Greek government, which insists its citizens must choose between the painful rescue and economic collapse, aims to bring its budget deficit back to the EU limit of 3 per cent by 2014, two years later than originally promised.

But critics say the measures are unfair on ordinary Greeks. 'These measures are tough and unfair,' said Stathis Anestis, a spokesman for private sector union GSEE. 'They lead workers to misery and the country deeper into recession.'

But economists were more positive. 'The aid package will help defuse the primary cause of concern for creditors which is the imminent risk of default,' said Lena Komileva, head of G7 market economics at brokers Tullett Prebon.

However there is still widespread disapproval of the bailout in eurozone members.

German politician Juergen Ruettgers, a conservative ally of Mrs Merkel, said the rescue should come with more restrictions such as sending a EU commissioner to oversee the Greek government's spending cuts and accounting.

'We can't give Greece any blank cheques,' he said.

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Police walk in front of a burning broadcast van belonging to state TV. It was set on fire by a petrol bomb