Make us your home page
Instagram

Greek Cabinet approves new round of austerity measures

Protesters listen Thursday to a speech by Greek composer Mikis Theodorakis during a peaceful rally against new austerity measures.

Associated Press

Protesters listen Thursday to a speech by Greek composer Mikis Theodorakis during a peaceful rally against new austerity measures.

ATHENS, Greece — The Greek Cabinet on Thursday approved and submitted to Parliament a new round of painful austerity measures and a $73 billion privatization drive that are essential for the debt-ridden country to continue receiving funds from its international bailout.

Greece is lagging behind with reforms promised in return for last year's $160 billion package of rescue loans from its European partners and the International Monetary Fund. Fellow eurozone governments have warned that if the country does not enforce new austerity, it will be cut off from aid.

Without the next $17 billion installment from its rescue loans due in July, Greece, which remains stuck in recession and locked out of international bond markets, will default on its massive debts.

No specific date has been set for a vote, but Cabinet officials said they expected it to be held before June 28.

The governing Socialists hold a six-seat majority in the 300-member legislature, but many party backbenchers have strongly criticized the new austerity plan. However, none of the disgruntled Socialist lawmakers have openly threatened to vote against the measures.

New plans include a $9.4 billion package of cuts and tax hikes for this year and a renewed $32.15 billion austerity drive for 2012-2015. Officials said all Greeks earning more than $11,500 to $14,500 annually will be charged an extra tax worth up to 3 percent of their income every year for the next four years, while the sales tax on restaurants and bars will rise from 13 to 23 percent.

Greek Cabinet approves new round of austerity measures 06/09/11 [Last modified: Thursday, June 9, 2011 8:54pm]
Photo reprints | Article reprints

© 2017 Tampa Bay Times

    

Join the discussion: Click to view comments, add yours

Loading...
  1. SeaWorld shares drop Monday to 2017 low after disclosure of federal subpoena

    Tourism

    The Orlando parent company of SeaWorld and Busch Gardens theme parks saw its stock drop 3.5 percent Monday to $15.10, its lowest price of this year.

    Killer whales perform at Shamu Stadium at SeaWorld in Orlando in 2011, before public pressure was placed on the theme park company to curtail its orca shows.SeaWorld has since announced an end to the traditional killer whale entertainment  at its theme parks. [AP Photo/Phelan M. Ebenhack]
  2. Rick Scott appoints longtime ally Jimmy Patronis as Florida CFO

    State Roundup
    Rick Scott appoints Jimmy Patronis (background) as CFO. [STEVE BOUSQUET | Tampa Bay Times]
  3. Local gas prices plummet as Fourth of July holiday travel approaches

    Tourism

    TAMPA — Local gas prices are enjoying an unseasonal dip around the $2 mark just in time for the hectic Fourth of July holiday travel weekend.

    The price of regular unleaded gasoline has dropped to $1.99 at a Rally station on Pasadena Ave. South and Gulfport Boulevard South, South Pasadena.
[SCOTT KEELER   |   Times]

  4. Air bag recalls, lawsuits lead Takata to file for bankruptcy

    Autos

    Shattered by recall costs and lawsuits, Japanese air bag maker Takata Corp. filed Monday for bankruptcy protection in Tokyo and the U.S., saying it was the only way it could keep on supplying replacements for faulty air bag inflators linked to the deaths of at least 16 people.

    Japanese air bag maker Takata Corp. CEO Shigehisa Takada bows during a press conference in Tokyo on Monday. Takata has filed for bankruptcy protection in Tokyo and the U.S., overwhelmed by lawsuits and recall costs related to its production of defective air bag inflators.
[(AP Photo/Shizuo Kambayashi]
  5. Airbag maker Takata bankruptcy filing expected in Japan, U.S.

    Corporate

    DETROIT — Japanese airbag maker Takata Corp. has filed for bankruptcy protection in Tokyo and the U.S., overwhelmed by lawsuits and recall costs related to its production of faulty air bag inflators.