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Thursday, 30 June 2011 - Second Greek vote expected to pass amid protest anger |
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    Edition: U.S. Article Comments (0) Slideshow Video Full Focus Editor's choice A selection of our top photos from the past 24 hours.   Full Article  Follow Reuters Facebook Twitter RSS YouTube Read Violence flares before key Greek austerity vote | 29 Jun 2011 UPDATE 1-Los Alamos scurries to protect nuclear lab from fire 28 Jun 2011 Looking for answers, Casey Anthony's father bought gun 29 Jun 2011 WRAPUP 8-Obama call for stimulus may complicate debt talks 29 Jun 2011 Euro extends gains, cheered by Greek vote 29 Jun 2011 Discussed 221 Biden deficit-cut talks hit impasse: Rep. Cantor 114 Fragile economy pushed Obama to tap oil reserves 97 Top Republicans insist no taxes in debt deal Watched Austerity vote passed amid violent Greek protests Wed, Jun 29 2011 A Tokyo-Paris flight in under three hours on the horizon Fri, Jun 24 2011 New report delves into the costs of war Wed, Jun 29 2011 Second Greek vote expected to pass amid protest anger Tweet Share this Email Print Related News Clashes in Greece, parliament expected to approve bill Wed, Jun 29 2011 Greece backs first austerity package, violence worsens Wed, Jun 29 2011 Timeline: Key hurdles for Greece in coming weeks Wed, Jun 29 2011 Prospects improve Greek austerity plan will pass Tue, Jun 28 2011 Greek police clash with austerity protesters Tue, Jun 28 2011 Analysis & Opinion Letter to the Greeks Greek Plan B needs two elements Related Topics World » Related Video Violence grips Athens Wed, Jun 29 2011 1 / 3 A demonstrator is detained by riot police during anti-austerity protests in Athens, June 29, 2011. Greece's parliament has approved unpopular austerity measures on Wednesday, despite violent protests, to secure international funds to prevent the euro zone's first sovereign default. Credit: Reuters/John Kolesidis By Dina Kiriyakidou and Daniel Flynn ATHENS | Thu Jun 30, 2011 3:29am EDT ATHENS (Reuters) - Greek police clashed with protesters outside parliament in the early hours of Thursday ahead of a vote expected to approve a final austerity bill needed to secure international aid and avert a debt default. The government of Prime Minister George Papandreou, which won a first vote on Wednesday by 155 to 138 votes, expects to pass the second and final bill covering 28 billion euros ($40 billion) in tax hikes, spending targets and privatizations agreed as part of an EU/IMF bailout. Parliament resumes debate at 9:30 a.m. (2:30 a.m. EDT) and the decisive vote is not expected before 2 p.m. (7 a.m. EDT). Before the debate, it had not yet been decided whether more than one vote would be needed to pass it. "I expect that the MPs who backed the mid-term plan will also vote for the implementation law," government spokesman Ilias Mosialos said in a television interview. World stocks rallied on Thursday for the third day running and the euro rose to its highest dollar level in 20 days on relief that Greece looked set to avoid the euro zone's first debt default. The optimism was mixed with concern though over whether the government will be able to implement the unpopular cuts in practice to meet a tight schedule imposed by the EU and the IMF. "There are still a lot of unanswered questions about the effective implementation of austerity measures, given the backdrop of increasing public anger in Greece," said Omer Esiner, chief market analyst at Commonwealth Foreign Exchange in Washington. Implementing the measures will be hard for the government, which has fallen behind the opposition in opinion polls and has faced heated criticism from its own deputies during the parliament debate. Unions, which paralyzed the country for 48 hours earlier this week, have vowed to oppose privatizations and other austerity steps. Anger among the Greek population was underlined by violence which on Syntagma Square outside parliament as Wednesday's votes on the first bill were being counted. Doctors working with the demonstrators said they had treated at least 25 people for minor injuries and hundreds with respiratory problems at the adjacent Syntagma metro station. At least 40 police officers were hurt, the police union said. Hooded youths and police fought battles into the night, choking the city center with tear gas and smoke from petrol bombs. The protesters set fire to the post office in the building where the Finance Ministry is located, and tried to set ablaze a bank. Across the square, the luxury King George Hotel was evacuated. Parliament must pass both bills for the European Union and International Monetary Fund to release a 12-billion-euro loan -- essential for Greece to meet debt payments in July -- under a 110-billion-euro bailout agreed in May 2010. The laws are also needed for talks on a planned second and longer-term bailout of about the same size, which will include some 30 billion euros in private-sector participation. Locked out of bond markets, Greece needs the extra cash to avert default and keep the debt crisis from spilling over to the rest of the euro zone. Papandreou, who reshuffled his cabinet earlier this month to secure support for the bills, said he was determined to push through reforms. "Today, I am more determined than ever," Papandreou said. "Now is the time to tackle everything that is wrong, with everything that hurts us, that holds us back." Thursday's vote enables individual budget measures and creates a privatization agency. The conservative New Democracy opposition, which voted against the first bill, said it would support some of the measures in the second. "We will reject it in principle. However, we will support the privatizations mechanism as well as the articles on spending," said New Democracy deputy Yannis Vroutsis. Still, analysts said the real challenge will come after the bill is voted on and the international money secured. "The implementation law will also pass, without problems," said Costas Panagopoulos, head of ALCO pollsters. "The real question is whether Papandreou will use this vote to move forward with these crucial reforms." (Additional reporting by Harry Papachristou; Editing by Peter Graff and Neil Fullick) World Tweet this Link this Share this Digg this Email Reprints   We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (0) Be the first to comment on reuters.com. Add yours using the box above. Social Stream (What's this?) © Copyright 2011 Thomson Reuters Editorial Editions: Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom United States Reuters Contact Us Advertise With Us Help Journalism Handbook Archive Site Index Video Index Reader Feedback   Mobile Newsletters RSS Podcasts Widgets Your View Analyst Research Thomson Reuters Copyright Disclaimer Privacy Professional Products Professional Products Support Financial Products About Thomson Reuters Careers Online Products Acquisitions Monthly Buyouts Venture Capital Journal International Financing Review Project Finance International PEhub.com PE Week FindLaw Super Lawyers Attorney Rating Service Reuters on Facebook Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests. NYSE and AMEX quotes delayed by at least 20 minutes. Nasdaq delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here.

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