Euro zone finance ministers gave Greece two weeks from Monday to approve stricter austerity measures in return for another 12 billion euros in emergency loans, piling pressure on Athens to get its ragged finances in order, according to Reuters. After two days of crisis meetings, the ministers effectively issued Athens an ultimatum, saying the Greek government, parliament and broader society had until July 3 to approve a new package of spending cuts, tax hikes and privatisation measures in order to receive the next tranche of EU/IMF aid. "The approval of the Greek parliament is absolutely essential and it will have to arrive in a timely fashion so we can take a decision on July 3," said Jean-Claude Juncker, who chairs the Eurogroup of the 17 euro zone finance ministers. "It is clear that the (Greek) debt is sustainable, but the debt will only remain sustainable if Greece fulfils all its commitments which it agreed with the troika," he told reporters, referring to the European Union, International Monetary Fund and European Central Bank. Greece's newly appointed finance minister, Evangelos Venizelos, issued a statement shortly before Juncker spoke saying he would strive to ensure the already reworked austerity package was approved. Greece risks defaulting on its debts if the next tranche, the fifth instalment of 110 billion euros ($155 billion) of loans agreed with Athens in May 2010, is not released in time. -- SPA
