Greek Pension Reform Targeted by Lawmakers Before Bailout Review
- Parliament to vote Sunday on bill linked to 5.4 billion euros
- Contingency measures over deficit breach could be deal-breaker
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Greek lawmakers are debating pension and income tax reforms that will be key to unlocking international aid as European creditors considered a proposal that would burden Athens with additional austerity measures.
The bill -- part of a 5.4 billion-euro ($6.2 billion) belt-tightening package needed to secure further aid from the euro area and the International Monetary Fund -- will be put to a vote later Sunday, a day before Greece meets with euro-area finance ministers to review the status of the bailout. The Athens government late Friday proposed targeting 200 million euros in revenue by lowering the income tax-free threshold to 8,363 euros and in breach of a “red line” of 9,100 euros.