Creditors decide on euro zone rescue Greece – World

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 Reuters .- The Greek Prime Minister Alexis Tsipras, Saturday received the support of legislators to painful reforms , but it was unclear whether this would be sufficient to ensure recovery of Germany and other Eurozone ministers who will meet in Brussels later.

In a session overnight, Tsipras had to rely on votes from the opposition right after some of his leftist allies rejected cuts spending , tax increases and other measures proposed in order to unlock 54.000 million in credit to three years.

Tsipras also sought to prevent Greece from falling into bankruptcy can force the country to leave the eurozone.
But Germany, the largest creditor in two previous bailouts totaling 240,000 million euros (265,000 million dollars), is deeply skeptical after five months of frustrated negotiations.

Euro zone sources said there was no certainty that the 19 Eurogroup finance ministers agree to open negotiations on an emergency meeting scheduled for 1300 GMT.

“The high levels of funding needed for the next three years could be too high and too hasty,” said a source. He added that experts from the EU and the International Monetary Fund (IMF) estimated Greece needs 82,000 million euros, which come from the IMF and other EU sources.

A spokesman German Finance Minister Wolfgang Schaeuble declined to comment on a newspaper report stating that he considered inadequate proposals of Tsipras and oppose further talks. He said the outcome of the dialogue on Saturday was “completely open”.

Schaeuble, like the French finance minister, Michel Sapin, arrived more than two hours before the start, as that the new Greek Finance Minister, Euclid Tsakalotos. The IMF head Christine Lagarde said on arrival: “I think we are here to achieve much progress”

The German Chancellor, Angela Merkel, has made clear it does not want to output. Greece in the euro zone that may affect the European economy and undermine a supposedly irreversible binding. However, it faces strong opposition from his conservative allies.

A positive assessment of the Greek proposals made by the European Commission and the IMF late on Friday, along with upbeat comments from France-the main ally of Athens in the eurozone, have raised expectations that the Eurogroup gives green light to new aid negotiations.

divided Parliament

With closed and completely dependent on a credit line of the European Central Bank (ECB) Greek banks, the measures were seen as the last chance to avoid financial collapse.

The European Commission, the ECB and the IMF said governments in the euro zone, after reviewing the proposals of Tsipras, who had sufficient basis to start negotiating loans from the European Stability Mechanism (ESM) .

But in an ominous sign for the stability of the government, 10 members of the ruling party abstained or voted against the measures and seven others were absent, leaving less of Tsipras 151 seats needed to have a majority of their own.

relevant figures in his party Syriza said before the vote that they would not support the combination of tax increases and spending cuts proposed by Tsipras, then the rejection of similar austerity measures of voters in the referendum on Sunday.

(Additional reporting by Renee Maltezou, Michele Kambas, George Georgiopoulos, Costas Pitas, Lefteris Karagiannopoulos, Georgia Kalovyrna, Matthias Williams and James Mackenzie in Athens, Andrius Sytas in Vilnius, Sabine Siebold and Paul Carrel in Berlin, Andreas Rinke and Miranda-Walker Alexander in Brussels and Jan Strupczewski. Written by Alastair Macdonald. Spanish Editing by Steve Addison)