Greece Wins Aid Deal Contingent on Austerity Measures

Posted June 24th, 2011 at 5:35 pm (UTC-5)
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European Commission President Jose Manuel Barroso said privatization and fiscal consolidation are indispensable for Greece. He also called for measures to stimulate jobs and growth in the country.

The austerity measure reforms will include cuts in social benefits and the privatization of state-owned enterprises.

Greek unions on Thursday called for a two-day general strike next week against the $40-billion austerity package, the latest in sometimes violent protest actions against the tough reform measures.

Mr. Papandreou's government won a crucial confidence vote in parliament Wednesday.

The same day, U.S. Federal Reserve Chairman Ben Bernanke said much more than the future of Greece is at stake, adding that failure to resolve the debt crisis in Greece could threaten the global financial system.