Greece narrowly avoided default Thursday after leaders working overnight reached a deal in the wee hours of the morning. Greek political leaders and officials from the International Monetary Fund and the European Union agreed on a tough austerity program that will see Greece receive a bailout worth $172 billion and avoid non-payment of government bonds set for a March 20 redemption. The austerity plan calls for lowering the minimum wage by 22 per cent, which will affect most workers in the country, as well as cutting 15,000 public sector jobs. The IMF, the EU and the European Central Bank must still approve the agreement by February 15 so Greece can meet the March deadline.
Greece narrowly avoided default Thursday after leaders working overnight reached a deal in the wee hours of the morning. Greek political leaders and officials from the International Monetary Fund and the European Union agreed on a tough austerity program that will see Greece receive a bailout worth $172 billion and avoid non-payment of government bonds set for a March 20 redemption. The austerity plan calls for lowering the minimum wage by 22 per cent, which will affect most workers in the country, as well as cutting 15,000 public sector jobs. The IMF, the EU and the European Central Bank must still approve the agreement by February 15 so Greece can meet the March deadline.