Economy 10:31 22/07/2015

Greek debt crisis: MPs prepare for second vote on bailout reforms

The Greek parliament is to vote later on a second set of reforms needed to secure its bailout deal. If MPs approve the financial and judicial reforms, Greece will be able to press ahead with negotiations for an €86 billion bailout from its creditors. Prime Minister Alexis Tsipras has been trying to rally his Syriza colleagues, saying the Greek people had "pinned their hopes" on staying in the euro. The vote is expected to pass with the support of opposition parties, BBC reports.

But Mr Tsipras needs to avoid a significant rebellion from within the ranks of Syriza. Some 32 of the radical-left party's 149 MPs - including former finance minister Yanis Varoufakis - voted against the first tranche of bailout measures last week. Another six abstained.

The rebellion reduced Mr Tsipras' support within his own ruling coalition to just 123, barely more than the minimum 120 required to sustain a minority government.

"Up until today I've seen reactions, I've read heroic statements but I haven't heard any alternative proposal," Mr Tsipras told Syriza MPs on Tuesday night, an official told the Reuters news agency.

"Syriza as a party must reflect society, must welcome the worries and expectations of tens of thousands of ordinary people who have pinned their hopes on it," he reportedly said.

Last week's vote was about the austerity measures imposed by Greece's creditors - a mix of economic reforms and budget cuts demanded by the eurozone countries and institutions before bailout talks could continue.

The measures that will come before the parliament on Wednesday are of a more structural nature - a code of civil protection aimed at speeding up court cases and the adoption of an EU directive to bolster banks and protect savers' deposits of less than €100,000.
More contentious measures - phasing out early retirement and tax rises for farmers - have been pushed back to August.



Source Panorama.am
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