News / Europe

European Leaders Adopt Second Greek Bailout

Greece's Prime Minister George Papandreou (L),  European Council President Herman Van Rompuy (C) and European Commission President Jose Manuel Barroso (R) address  a joint news conference at the end of an euro zone leaders crisis summit in Brussels July 2
Greece's Prime Minister George Papandreou (L), European Council President Herman Van Rompuy (C) and European Commission President Jose Manuel Barroso (R) address a joint news conference at the end of an euro zone leaders crisis summit in Brussels July 2

European leaders have adopted another package of measures aimed at preventing Greece from defaulting on its huge public debt and stabilizing the common European currency.

The European Union and the International Monetary Fund said Thursday they will give Greece a second bailout worth about $155 billion.  In addition, Greece will get voluntary loans from the private sector to help cover the financial gap.

Officials from the continent's 17 nations that use the euro met in Brussels Thursday.  After the meeting,  European Union President Herman van Rompuy and European Commission President Jose Manuel Barroso said participants unanimously supported a package they called a Marshall Plan for Greece to ensure the sustainability of its debt and prevent the crisis from spreading.  

Greek Prime Minister Georgios Papandreou hailed the package as a solution that's good for the Greek people as well as for businesses.

IMF Director Christine Lagarde praised the determination of euro zone countries to support Greece and other struggling European economies.

In the past year, Greece - and later, Ireland and Portugal - were forced to secure international financial assistance from their European neighbors and the International Monetary Fund.  But Greece, even after adopting austerity measures to cut spending and raise taxes, said it needs another bailout of about the same size as last year's $156 billion figure.

Leaders of the European countries using the euro said they have agreed on measures to prevent future crisis from occurring instead of acting after it happens.  

They said Greece is expected to receive an estimated $53 billion credit from the private sector, to ensure that Greek banks can operate within the euro system.  But those contributions will be voluntary.  Euro zone leaders also pledged to provide adequate resources to re-capitalize Greek banks if needed.  

But they stressed that private sector will not be involved in financial bailouts for other euro zone countries.  Barroso stressed that Greece is an exceptional case that requires a unique solution.

In a statement, the leaders of 17 euro countries and their financial institutions said they are determined to continue to provide support to countries under EU financial aid programs, provided they commit to implement the necessary reforms.  They welcomed Ireland's and Portugal's resolve to implement their austerity programs.

Some information for this report was provided by AP, AFP and Reuters.

You May Like

India PM Modi's Party Distances Itself From Religious Conversions

BJP under fire for being slow to rein in hardline affiliate groups allegedly trying to promote Hindu-dominant agenda by luring Muslims and Christians to convert More

Anti-Whaling Group Found in Contempt of Court

Radical environmentalists who threw acid and smoke bombs at Japanese whalers in the waters off Antarctica continue their campaign to disrupt Japan's annual whale hunt More

UN's Ban Urges End to Discrimination Against Ebola Workers

Ban was speaking in Guinea on the second day of a whistle-stop tour aimed at thanking healthcare workers of the countries at the heart of the epidemic More

This forum has been closed.
Comments
     
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
US Decision on Cuba Underscores Divisions Among Miami Cubansi
X
Sharon Behn
December 19, 2014 9:34 PM
For decades, older, more conservative Cubans have been gathering at Café Versailles on the corner of Calle Ocho to eat Cuban food and talk politics. After hearing of President Barack Obama’s decision, a number of them gathered in front of the café with posters to protest. VOA's Sharon Behn reports on the situation.
Video

Video US Decision on Cuba Underscores Divisions Among Miami Cubans

For decades, older, more conservative Cubans have been gathering at Café Versailles on the corner of Calle Ocho to eat Cuban food and talk politics. After hearing of President Barack Obama’s decision, a number of them gathered in front of the café with posters to protest. VOA's Sharon Behn reports on the situation.
Video

Video Three Cities Bid for Future Obama Presidential Library

President Barack Obama still has two years left in his term in office, but the effort to establish his post-presidential library is already underway. The bid for the Obama Presidential Library is down to four locations in three states -- New York, Hawaii, and Illinois. As VOA’s Kane Farabaugh reports, each of them played an important part in the president’s life before he reached the White House.
Video

Video Cuba Deal is Major Victory for Pope’s Diplomatic Initiatives

Pope Francis played a key role in brokering the US-Cuba deal that was made public earlier this week. It is the most stunning success so far in a series of peacemaking efforts by the pontiff. VOA religion reporter Jerome Socolovsky has more.
Video

Video Fears of More Political Gridlock in 2015

2014 proved to be a difficult year politically for President Barack Obama and a very good year for the U.S. Republican Party. Republican gains in the November midterm elections gave them control of the Senate and House of Representatives for the next two years -- setting the stage for more confrontation and gridlock in the final two years of the Obama presidency. VOA National Correspondent Jim Malone has a preview from Washington.
Video

Video Sudan School Becomes Target of Aerial Attacks

The school dropout rate is at an all-time high in Sudan's South Kordofan state because many schools have been destroyed during the three-year civil war between the government and SPLA-N rebel forces. Adam Bailes visited Sudan's Nuba Mountains' region and reports many children are simply too scared to go to school
Video

Video VOA Reporter Tours Devastated Peshawar School

Islamist militants wearing military uniforms and strapped with explosives attacked a military run school Tuesday in the northwestern Pakistani city of Peshawar. At least 141 people were killed in the horrific attack, most of them young students. VOA reporter Ayaz Gul visited the devastated school and attended the funeral of the principal who courageously tried to save her students from the deadly attack.
Video

Video Nigerians Fleeing Boko Haram Languish in Camp Near Capital

In its five-year effort to impose Islamic law in northeastern Nigeria, the Boko Haram extremist group has killed thousands of people and forced hundreds of thousands to flee. Some of those who ran for their lives now live in squalor on the edges of the capital, Abuja. Chris Stein reports for VOA.
Video

Video Aceh Rebuilt Decade After Tsunami, But Scars Remain

On December 26, 2004 there was an earthquake in the Indian Ocean so powerful it caused the Earth’s axis to wobble a few centimeters. Onshore on the island of Sumatra, the resulting tsunami was devastating. A decade later, VOA Correspondent Steve Herman reports from Banda Aceh, Indonesia, where although there is little remaining evidence of the physical devastation, the psychological scars among survivors remain.

All About America

AppleAndroid