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| Version 3 | Version 4 |
|---|---|
| Merkel pledges to stand by Greece | Merkel pledges to stand by Greece |
| (10 minutes later) | |
| German Chancellor Angela Merkel has pledged to "stand helpfully by Greece's side" but her economy minister said Germany would not offer a cash bailout. | German Chancellor Angela Merkel has pledged to "stand helpfully by Greece's side" but her economy minister said Germany would not offer a cash bailout. |
| Mrs Merkel was speaking ahead of a meeting in Berlin with Greek Prime Minister George Papandreou. | Mrs Merkel was speaking ahead of a meeting in Berlin with Greek Prime Minister George Papandreou. |
| He is facing increased pressure at home as Greece's two main unions have called a new general strike. | He is facing increased pressure at home as Greece's two main unions have called a new general strike. |
| The strike, on 11 March, is to protest against austerity cuts the unions say are "anti-popular" and "barbaric". | The strike, on 11 March, is to protest against austerity cuts the unions say are "anti-popular" and "barbaric". |
| Public sector workers are currently striking, and rock-throwing protestors outside parliament have clashed with police, who used tear gas to disperse them. | Public sector workers are currently striking, and rock-throwing protestors outside parliament have clashed with police, who used tear gas to disperse them. |
| BBC correspondent Malcolm Brabant said the mood on the streets in Athens had degenerated after three months of relatively mild protests. | BBC correspondent Malcolm Brabant said the mood on the streets in Athens had degenerated after three months of relatively mild protests. |
| TV pictures showed officers spraying gas into the face of veteran left-winger Manolis Glezos, who is in his mid-80s. Mr Glezos climbed the wall of the Acropolis to tear down the Swastika during the Nazi occupation. | |
| On Wednesday, Mr Papandreou revealed further tax rises and spending cuts that have gone down very badly with public sector workers, but could reduce the risk of Greece needing help. | On Wednesday, Mr Papandreou revealed further tax rises and spending cuts that have gone down very badly with public sector workers, but could reduce the risk of Greece needing help. |
| Members of the Socialist-led Greek parliament are set to approve the austerity measures on Friday. | Members of the Socialist-led Greek parliament are set to approve the austerity measures on Friday. |
| 'Not a cent' | 'Not a cent' |
| ANALYSIS By Oana Lungescu, BBC News, Berlin | ANALYSIS By Oana Lungescu, BBC News, Berlin |
| Despite mounting speculation about an EU bail-out, most Germans oppose giving aid to a country that has misreported budget figures for years to hide its mountain of debt. | Despite mounting speculation about an EU bail-out, most Germans oppose giving aid to a country that has misreported budget figures for years to hide its mountain of debt. |
| Chancellor Merkel has warned that the euro is in the most difficult phase since its creation. | Chancellor Merkel has warned that the euro is in the most difficult phase since its creation. |
| Few doubt that Mrs Merkel will eventually take action if she sees the stability - or credibility - of the euro under threat. | Few doubt that Mrs Merkel will eventually take action if she sees the stability - or credibility - of the euro under threat. |
| But with support for her centre-right coalition slipping, Mrs Merkel has reassured voters that she will not use taxpayers' money, nor breach the "no bail-out clause" in the EU's Maastricht Treaty. | But with support for her centre-right coalition slipping, Mrs Merkel has reassured voters that she will not use taxpayers' money, nor breach the "no bail-out clause" in the EU's Maastricht Treaty. |
| A recent poll shows that 71% of Germans think the EU should not help Greece at all. You could call it a culture clash. Germans are big savers, not big spenders. Germany wary of footing Greek bill | A recent poll shows that 71% of Germans think the EU should not help Greece at all. You could call it a culture clash. Germans are big savers, not big spenders. Germany wary of footing Greek bill |
| Mr Papandreou hopes the talks with Mrs Merkel will lead to a German commitment to provide support if Greece cannot raise money from the markets. | Mr Papandreou hopes the talks with Mrs Merkel will lead to a German commitment to provide support if Greece cannot raise money from the markets. |
| However, reports of potential support for Greece are proving unpopular in Germany as many people do not support their taxes being used for bailouts. | However, reports of potential support for Greece are proving unpopular in Germany as many people do not support their taxes being used for bailouts. |
| Economy Minister Rainer Bruederle said earlier that his government "does not intend to give a cent" to Greece in financial aid. | Economy Minister Rainer Bruederle said earlier that his government "does not intend to give a cent" to Greece in financial aid. |
| There are also fears that rescuing one country could encourage others to expect the same. | There are also fears that rescuing one country could encourage others to expect the same. |
| Meanwhile, Germany passed its budget for 2010, with borrowing set to soar this year. | Meanwhile, Germany passed its budget for 2010, with borrowing set to soar this year. |
| New borrowing is expected to reach 80.2bn euros ($109bn; £72.5bn) - double the previous highest debt record, set in 1996. However this is less than the 85.8bn euros initially proposed by the government. | New borrowing is expected to reach 80.2bn euros ($109bn; £72.5bn) - double the previous highest debt record, set in 1996. However this is less than the 85.8bn euros initially proposed by the government. |
| Raising funds | Raising funds |
| On Thursday, the Greek government went to the financial markets to borrow money and saw its 5bn euro ($6.8bn; £4.5bn) bond issue oversubscribed. | On Thursday, the Greek government went to the financial markets to borrow money and saw its 5bn euro ($6.8bn; £4.5bn) bond issue oversubscribed. |
| Mrs Merkel welcomed the uptake. "The placement of the bond yesterday went very well and that is of course a good signal for the markets," she said. | Mrs Merkel welcomed the uptake. "The placement of the bond yesterday went very well and that is of course a good signal for the markets," she said. |
| But Greece will need to borrow more in the coming months - more than $70bn for the year as a whole. | But Greece will need to borrow more in the coming months - more than $70bn for the year as a whole. |
| Mr Papandreou has suggested that Greece might go to the International Monetary Fund (IMF) for help. | Mr Papandreou has suggested that Greece might go to the International Monetary Fund (IMF) for help. |
| But the other countries in the eurozone would not welcome what would be seen as a sign that they could not fix their own problems. | But the other countries in the eurozone would not welcome what would be seen as a sign that they could not fix their own problems. |
| The president of the European Central Bank, Jean-Claude Trichet, has dismissed the idea of the IMF providing financial aid for Greece. | The president of the European Central Bank, Jean-Claude Trichet, has dismissed the idea of the IMF providing financial aid for Greece. |
| "I do not trust that it would be appropriate to have the introduction of the IMF as a supplier of help through standby or through any kind of such help," he told reporters in Frankfurt on Thursday. | "I do not trust that it would be appropriate to have the introduction of the IMF as a supplier of help through standby or through any kind of such help," he told reporters in Frankfurt on Thursday. |
| Mr Papandreou will also meet French President Nicolas Sarkozy in Paris on Sunday before travelling to Washington to meet US President Barack Obama on Tuesday. | Mr Papandreou will also meet French President Nicolas Sarkozy in Paris on Sunday before travelling to Washington to meet US President Barack Obama on Tuesday. |