- Title: GREECE: IMF and EU discuss aid package with Athens
- Date: 22nd April 2010
- Summary: ATHENS, GREECE (APRIL 21 2010) (REUTERS) FINANCE MINISTRY EXTERIOR ENTRANCE TO FINANCE MINISTRY INTERNATIONAL MONETARY FUND (IMF) AND EUROPEAN UNION (EU) OFFICIALS ARRIVING AT MINISTRY VARIOUS OF OFFICIALS WALKING INTO MINISTRY INSIDE MORE OFFICIALS ARRIVING AND ENTERING MINISTRY OFFICIALS ENTERING ELEVATOR INSIDE MORE OFFICIALS ARRIVING OFFICIALS STANDING OUTSIDE
- Embargoed: 7th May 2010 13:00
- Keywords:
- Location: Greece
- Country: Greece
- Topics: International Relations,Finance
- Reuters ID: LVA8XT9Y9IQNHIZNHY9OPHICXT6O
- Story Text: A group of some 20 officials from the EU and IMF arrived at Greece's Finance Ministry on Wednesday (April 21) to begin discussions with Greek government officials. Athens prepared to launch talks on an EU/IMF bailout package aimed at rescuing Greece from a debt crisis rocking the euro zone.
The talks will last at least 10 days on the belt-tightening measures Greece must take until 2012, the European Commission said, paving the way for the swift payout of up to 30 billion euros of EU zone emergency aid if Athens asks for it.
Discussions had been due to start on Monday (April 19) but fell victim to the ash cloud that has closed much of Europe's airspace. Unnerving markets made more jittery on Tuesday (April 20) by data showing Greece's unemployment rate had risen sharply and its current account deficit widened.
Finance Minister George Papaconstantinou said Greece would decide whether to trigger the aid mechanism or tap markets depending on borrowing costs and the progress of negotiations.
He said there was "no chance" the country would fail to cover its borrowing needs for May, after it paid a euro lifetime high of 3.65 percent earlier on Tuesday to attract buyers for 1.95 billion euros of 13-week T-bills.
A two day strike was organized by the communist labour movement on Wednesday (April 21) as the officials arrived to protest over the government's austerity measures unions say hurt workers.
Unions say if Greece takes the package, they fear more measures including cutting more jobs and wages.
Hotel contract workers demonstrated outside three of Athens largest hotels unfurling a banner, while at the same time substitute teachers set up tents in front of Parliament and camped out, posting banners reading for the government measures to be rescinded.
They also posted photocopies of their university degrees on a clothesline, with a stamp across them reading "void".
"All of us substitute teachers are being thrown out, we will be unemployed in September, and we are the ones that were always needed to covered the shortcomings of the school system." said teacher Yannis Avagianos outside his tent.
The government's plan includes freezing hiring, which may affect many contract and part time workers.
The plan also includes the freezing of wages and pensions, the reduction of holiday benefits and bonuses, the shrinking of the public sector, the reforming of the social security system, and tax increases.
Unions say the program will increase unemployment and workers are losing benefits and rights.
Various workers unions, who are affiliated with the Communist Labour Movement (PAME) who organized the strike, such as doctors, teachers, construction workers, court clerks, were on strike on Wednesday but the strike did not have an impact on the operation of those services.
A nationwide strike by the civil servants main union is planned for Thursday and is expected to affect transport.
On Tuesday, the January jobless rate jumped to a six-year high of 11.3 percent from 9.4 percent in the same month last year. A total 567,000 jobless were reported, a 22 percent year-on-year increase. - Copyright Holder: REUTERS
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