After a 12-hour meeting lasting into the wee hours last night, Greece's creditors agreed to cut its debt and release more bailout funds, staving off yet another Greek bankruptcy.
Greece needs its next aid infusion by mid-December. But European finance ministers postponed a deal amid disagreement over how much time Greece should have to pay down debt.
IMF chief Christine Lagarde and European financial ministers debated today over how to prevent Greece from collapsing, even as Athens faces mandatory debt payment on Friday.
The Greek Parliament narrowly pushed through the new, unpopular austerity measures, a key step for the release of more bailout funds from Europe.
Athens descended into violence Wednesday when a few hundred protesters clashed with riot police ahead of a crucial parliamentary vote on new spending cuts.
The strike has brought public transport to a virtual standstill and shuttered schools, banks, and local government offices in Greece the day before Parliament votes on a new round of wage and pension cuts.
Before leaving for the summit, German Chancellor Angela Merkel called for the EU to be given veto power over national budgets. But European leaders remain divided on the idea.
Chancellor Merkel, who faces elections next year, has tied her political fate to the survival of the common currency. But despite her efforts, Greece's economy continues to reel.
Tens of thousands of demonstrators marched to protest the German chancellor's visit to Athens, where she met with Prime Minister Antonis Samaras to discuss further austerity measures.
A Greek man could face two years in prison after being arrested last week for blasphemy after posting a Facebook page that satirized a famous Greek Orthodox monk.
German Chancellor Merkel remained cool to the Greek prime minister's pleas in Berlin for more time to implement economic reforms. Samaras travels to France Saturday.
Greek triple jumper Voula Papachristou was expelled from the Olympics Wednesday for a controversial tweet.
The G-20 ended with growing global pressure on German chancellor Angela Merkel to work toward a long-term solution for Europe's sinking economies.
Greece's emerging government is expected to ask for more time to implement austerity measures. Germany is saying no. One side will have to back down.
Greeks vote Sunday in an election that many say could determine whether it stays in the eurozone. The prospect of a departure has much of Europe on edge.
Europe's dire warnings to Greece about the consequences of a potential default engender little fear among Greeks, who say the worst has already arrived.
Rumors are rife of a Greek exit from the eurozone. While no country has yet dropped the common currency, there are some indications of what will transpire if Greece does.
In Germany, the results of yesterday's elections are seen as a refusal to follow the austerity plan hammered out by European leaders in long, painful negotiations.
Today's national elections in Greece could see the end to a two-party monopoly over politics as discontent over the economic crisis generates interest in smaller parties.
On a Greek island, at least 600 are suspected of falsely claiming to be blind to get disability money. It's part of the rampant fraud that prompted Athens to halt payments to 200,000 last week.
More of the mentally ill in Greece have ended up homeless, as services have been hit hard amid sharp austerity measures.
The pensioner who committed suicide in Athens' main square said it was his only dignified option before pension cuts forced him to forage for food in the trash.
Greek Finance Minister Evangelos Venizelos is resigning his cabinet post amid the ongoing debt crisis to lead the Socialist party in general elections this spring.
Private investors agreed to write off 85.8 percent of Greece's private debt, but analysts warn that if Greece doesn't address underlying problems, the deal will not fix things for long.
For Greece to receive its second international bailout, private lenders need to agree to a substantial debt write-off. The deadline for an agreement is tonight.
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