Greek Prime Minister George Papandreou's reshuffled Cabinet survived a vote of confidence early Wednesday despite widespread opposition to budget cuts he says are needed to prevent a government default.
International lenders have demanded Greece cut spending, lay off public workers, raise taxes and raise 50 billion euros ($71 billion) through selling off state-owned enterprises in exchange for a bailout of the cash-strapped nation. Vehement protests against the austerity measures spurred Papandreou (pictured) to shake up his government last week, leading to Wednesday's 155-143 vote.
Lawmakers are slated to vote on the privatization plan and further tax increases, pension cuts and layoffs on June 30. European Commission President Jose Manuel Barroso told CNN on Tuesday that Greece risks being abandoned by both Europe and the International Monetary Fund if it fails to act.FULL STORY