Greece adopts austerity bill amid protests

Greece adopts austerity bill amid protests

The Greek parliament approved a set of austerity measures on Thursday, defying violent protests in central Athens and a general strike which shut down much of the country.

The struggling government of Socialist Prime Minister George Papandreou won the parliamentary vote with 154 votes in favor and 144 against, despite the decision by one deputy in the ruling party to oppose one article in the package.

The victory should ensure the European Union and International Monetary Fund release a vital 8 billion euro ($11 billion) loan tranche which the government needs to keep paying its bills past November.

The mix of deep pay and pension cuts, tax hikes and changes to collective bargaining agreements has been bitterly opposed and at least 70,000 people joined protests in Athens' Syntagma Square in front of parliament.

Clashes

Groups of black-clad youths clashed with rivals from PAME, a communist-affiliated labour group before police cleared up the confrontation.

At least 74 people were taken to hospital with injuries, with one man dying of a heart attack on the fringes of the protest. Officials however said the death occurred in a separate incident.

Critical point

Papandreou now flies to Brussels for a meeting of European leaders on Sunday to try to prevent the debt crisis spinning out of control.

A second summit is also expected to be held on Wednesday.

"We are at a critical point, not only for us but for European history. I have never, in my memory, heard before from leaders of major European countries that there is danger of Europe coming apart; it is time for all of us now to assume our collective responsibility “,Papandreou told a cabinet meeting before the vote.

Reuters/Ehimen/Ekata