Greeks infuriated as EU puts off bailout decision

International funders have put off deciding on a Greek aid package until sometime next week. This came after the leaders of Greece's political parties finally agreed in writing yesterday to implement a new austerity package passed by parliament. The pledge was demanded by understandably skittish EU funders before they would even discuss the next bailout payment. It is anyone's guess if either the pledge or the payment can do any good for a nation that is near a total economic and political meltdown.

Although Greek conservative leader Antonis Samaras has sent a letter to the European Union and IMF committing himself to the austerity package, that commitment still seems very conditional. In the letter Samaras wrote, "If Nea Demokratia (New Democracy) wins the next election in Greece, we will remain committed to the Program's objectives, targets and key policies." However, he also stated that "policy modifications might be required to guarantee the full programme's implementation."

Q&A: The Greek financial crisis
Greek pols approve harsh austerity after riots

Greek citizens - facing an unemployment rate of more than 20 percent and an economy that shrunk by 7 percent last year - have repeatedly rioted over the proposed austerity plan. Among other things the plan cuts the Greek minimum wage from $992 a month to $774 a month; for those under 25 it goes to $675 a month. It also cuts the government workforce and slashes pensions and salaries. With elections expected in April it is difficult to believe that anyone can be elected who says they will go along with the plan.

This - and Athens' track record of broken promises - is exactly what has German officials so concerned. Because Germany will be footing much of the bill, their opinion is essential if any bailout is going to go ahead. Last month Chancellor Angela Merkel proposed putting a German in charge of Greece's economy. This idea is seen as insulting and is hated by Greeks who still remember Germany's occupation of their nation during World War II.

Greek leaders, under pressure at heavy pressure at home, are beginning to balk at what they see as an unending set of demands from the EU, IMF and European Central Bank. Finance Minister Evangelos Venizelos told reporters today, "We are continually faced with new terms. In the euro area, there are plenty who don't want us anymore. There are some playing with fire, domestically and abroad. Some are playing with torches and some are playing with matches. But the risk is equally great."

[ajvw]

coming soon to a country near you.

[credibility2]

The Greeks dragged their feet on this one previously when they were offered a deal and then caved in to protesting anarchists. Maybe Greek needs to fall on its face.

[Lerianis4]

Protesting anarchists? Hell no. People rightly protesting because the global money mavens are trying to manipulate Greece into putting into place 'austerity' when all the problems in the global economy at this point are to blame on them.

[Filmguy870]

this is effed up!! Totally.

[TheVarsityClub]

The wheels may be coming off this deal and those in the EU made be ready to test their preparedness for a Greece bankruptcy.

Reports have stated the EU feels they are somewhat prepared for a Greece bankruptcy, more prepared than they were two years ago, but are they willing to roll the dice.

Circumventing the democratic process to impose guaranteed austerity measures reeks of foul play and is the recipe for civil unrest.

Both sides will be criticized and both will be held accountable for the drama that is unfolding.

[Lerianis4]

Yes, circumventing the democratic process by not allowing the PEOPLE to vote on that is recipe for civil unrest AND the removal of officials from office.

75% of Greeks do not think that Austerity is necessary and the 25% that are left do not think it has to be as harsh as what the EU is pushing.