April 29th, 2010
07:19 PM ET

Greece seeking aid package worth $160B

The aid package being negotiated to bail out Greece is worth 120 billion euros (about $160 billion) through 2012, according to Vassilis Papadimitriou, a spokesman for Greek Prime Minister George Papandreou.

But the International Monetary Fund and European Union are demanding further austerity measures as a price for the bailout, according to a top Greek labor union official.

Greece will be required to cut civil servants' salaries, freeze their pay increases, reduce their pension payments, change tax rates and increase the value-added tax consumers pay on purchases, according to Ilias Iliopoulos, the general secretary of the public sector union ADEDY.

The International Monetary Fund did not respond immediately to a CNN request for confirmation of the value of the package. Its head, Dominique Strauss-Kahn, said Wednesday the agency did not release information about deals in the works until they were done.

Read the full CNN.com story

- Journalist Mary Retiniotis contributed to this report.

Post by:
Filed under: Greece • World
soundoff (No Responses)

Comments are closed.