Eurozone, IMF rescue plan for Greece worth 110 billion euros over three years

Eurozone, IMF rescue plan for Greece worth 110 billion euros over three years
# 03 May 2010 08:35 (UTC +04:00)
Baku – APA-Economics. Finance ministers from the 16 countries that use the euro have agreed to rescue Greece with euro110 billion in loans over three years to keep it from defaulting on its debts, AOL News reported.

The loan package with the International Monetary Fund is also aimed at keeping Greece’s debt crisis from spreading to other financially weak countries such as Spain and Portugal - just as Europe is struggling out of a painful recession.

In return, Greece had to agree to an austerity program that will impose painful spending cuts and tax increases on its people for years to come.

The plan will still need approval by some countries’ parliaments. But the head of the eurogroup, Luxembourg’s Jean-Claude Juncker, said Greece will get the first funds by May 19, when Athens has euro8.5 billion worth of a 10-year bond maturing.
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