Tax rises and spending cuts put forward as Greece pitches for €53bn bailout

Greek prime minister Alexis Tsipras has submitted detailed proposals for economic reform in the hope of persuading creditors to agree a fresh bailout. He is proposing punishing tax rises and spending cuts in return for a financial lifeline of 53.5 billion euro to prop up the country’s failing banking system. His proposals will be discussed in the Greek parliament tonight before European leaders meet on Sunday in Brussels to decide whether the Greek government has done enough to get the bailout. Without the money, it faces bankruptcy and falling out of the euro. Mr Tsipras has pleaded for a resolution to the crisis that would offer “light at the end of the tunnel” after more than five years of austerity.

The realistic proposal from Greece will have to be matched by an equally realistic proposal on debt sustainability from the creditors. Only then will we have a win-win situation

Donald Tusk, European Council President

Greece’s new finance minister Euclid Tsakalotos stressed the urgency of the loan request “given the fragility of our banking system”. Requesting a three-year long programme of support, he highlighted Greece’s “commitment to remain a member of the eurozone and to respect the rules and regulations as a member state”. Bank closures in Greece have been extended until Monday and Greeks are limited to withdrawing just 60 euro (£43) per day after the imposition of capital controls. British tourists have been warned to take sufficient cash to cover expected costs and emergencies and to ensure they have supplies of their usual prescription medicines in case of shortages.

I’m thinking that I lost 25 years of the thing that I tried to build. The only thing that I had in my mind was that I was doing this because I need a better future for my children. Unfortunately, in one day, all this collapsed and I am again at zero.

Greek businesswoman Kiriaki Arvaniti

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