Eurozone optimism after Greek lawmakers back bailout deal

1	Greek Finance Minister Euclid Tsakalotos gestures during a parliamentary session in Athens, early Friday, Aug. 14, 2015.
2	The Greek government defended its new bailout program in tumultuous parliamentary sessions as it faced a rebellion in the governing Syriza party ahead of a vote on the deal.
3	Greek Prime Minister Alexis Tsipras liestens during a parliamentary session in Athens, Friday, Aug. 14, 2015.
4	Greek lawmakers are continuing a debate in parliament to approve a massive new bailout deal after repeated delays over procedure and dissent within the governing left-wing Syriza party caused the session to last through the night.
5	Greek Prime Minister Alexis Tsipras, second left, waves during a parliamentary session in Athens, Friday, Aug. 14, 2015.
6	Greek lawmakers approved their country's draft third bailout in a parliamentary vote that relied on opposition party support and saw the government coalition suffer significant dissent.
7	Dutch Finance Minister and chairman of the eurogroup Jeroen Dijsselbloem, left, shakes hands with Greek Finance Minister Euclid Tsakalotos during a meeting of eurozone finance ministers at the EU Council building in Brussels on Friday, Aug. 14, 2015.
8	Eurozone officials were optimistic of approving a draft bailout deal for Greece on Friday after the country's lawmakers cleared it in a vote that nevertheless saw the government suffer significant dissent.
9	The bill on the rescue deal passed just in time for Greek Finance Minister Euclid Tsakalotos to head to Brussels to meet his counterparts from the 19-country currency union in the hope of getting their seal of approval as well.
10	The bailout is all that stands between Greece and a disorderly default on its debts - as soon as next week - that would force it out of Europe's joint currency.
11	The rescue package would give it about 85 billion euros ($93 billion) in loans over three years in exchange for harsh spending cuts and tax hikes.
12	Germany, Greece's most influential creditor and harshest critic, was cautiously optimistic about the eurozone signing off on the bailout.
13	"I think that at the end of today we will have a result," German Finance Minister Wolfgang Schaeuble said as he arrived for the talks.
14	"If we don't find a solution, we will have to do bridge financing," he said, referring to a short-term loan so Greece can make its next debt payment on Aug. 20.
15	Jeroen Djisselbloem, who chairs the eurozone finance gatherings, said that the meeting "won't be short," but that "hopefully at the end of the evening we'll have a positive outcome."
16	The bill passed through the Greek parliament thanks to support from opposition parties, with 222 votes in favor, 64 against, 11 abstentions and three absent in the 300-member parliament.
17	Although approved by a comfortable majority, the result was a blow to Prime Minister Alexis Tsipras, who saw more than 40 of his 149 radical left Syriza party lawmakers vote against him.
18	He has come under intense criticism from party hardliners for capitulating to the creditors' demands for budget cuts - austerity measures he had promised to oppose when he won elections in January.
19	The bill includes reforms increasing personal, company and shipping taxes, reducing some pensions, abolishing tax breaks for some groups considered vulnerable and implementing deep spending cuts, including to the armed forces.
20	The mounting discord within Syriza is threatening to split the party and could lead to early elections.
21	The stock market in Athens slid on the news and was down 2.4 percent in afternoon trading.
22	State television said Tsipras was expected to call a vote of confidence in his government, but that was not confirmed.
23	Government spokeswoman Olga Gerovasili said any action would come after Aug. 20, when Greece has to make a large debt repayment to the European Central Bank.
24	Tsipras has maintained his public popularity in Greece despite his U-turn on austerity policies, and consistently leads opposition parties in opinion polls.
25	An election would allow him to remove the hard line elements from his party, but it is not a risk-free option.
26	"An election in the next few months would create more political uncertainty, delay economic recovery and impede reform implementation and the possibility of opening talks on debt relief as desired by the (International Monetary Fund) as a condition of its involvement in funding the program," said Joan Hoey, analyst for Europe at the Economist Intelligence Unit.
27	"However, it appears to be unavoidable if Greece is to have a government capable of implementing the agreement."
28	The deal also needs approval from the parliaments of several other countries, including that of Greece's harshest critic, Germany, before any funds can be disbursed.
29	Some nations, such as Finland, have already given their approval.
30	Syriza dissenters angrily challenged the government during the all-night parliamentary session.
31	"I feel ashamed for you. We no longer have a democracy ... but a eurozone dictatorship," prominent party member and former energy minister Panagiotis Lafazanis said before the vote.
32	Lafazanis signed a declaration with another 12 left-wing politicians Thursday saying they would start a new anti-austerity movement.
33	He stopped short of quitting Syriza.
34	The terms of the new bailout were agreed earlier this week with creditor negotiators from the European Central Bank, European Commission and IMF.
35	"We took a painful decision of responsibility, and took a step back," Tsipras said in his defense of the bailout.
36	Some creditors have proposed giving Greece an interim loan to be able to make its Aug. 20 debt repayment and give them more time to fine-tune the deal.
37	Greece does not want that and is hoping to tap the full bailout package by next week.
38	The IMF considers Greece's debt to be unsustainable and says the country needs debt relief of some sort.
39	The fund has said it will decide on whether to participate in the new bailout once it has been set up and Greece's European partners have decided on how to ease its debt burden.
40	Many of Greece's euro partners have ruled out a cut to what the country owes them, preferring instead to consider lower interest rates and longer repayment dates on the bailout loans.
41	The issue will not be discussed, however, before a first positive review of the new deal is made in October.
42	Greek Finance Minister Euclid Tsakalotos covers his face during a parliamentary session in Athens, early Friday, Aug. 14, 2015.
43	Speaker of Parliament Zoe Konstantopoulou speaks to lawmakers during a debate in Athens, early Friday, Aug. 14, 2015.
44	The Greek government defended its new bailout program in tumultuous parliamentary sessions Friday, as it faced a rebellion in the governing Syriza party ahead of a vote on the deal.
45	Lawmaker Panagiotis Lafazanis speaks during a parliamentary session in Athens, early Friday, Aug. 14, 2015.
46	Former energy minister Lafazanis, a Syriza hardliner who lost his cabinet position last month after voting against another bailout-related bill, took a step toward a full split with his party Thursday, joining a group of another 12 left-wing politicians announcing they will create a new anti-bailout movement.
47	Lawmakers take part in a parliamentary session in Athens, Friday, Aug. 14, 2015.
48	Greek Prime Minister Alexis Tsipras listens during a parliamentary session in Athens, Friday, Aug. 14, 2015.
49	Greek Finance Minister Euclid Tsakalotos, left, and Greek Economy Minister Giorgos Stathakis chat each other during a parliamentary session in Athens, early Friday, Aug. 14, 2015.
50	Greek Prime Minister Alexis Tsipras, right, stands next to Greek Economy Minister Giorgos Stathakis during a parliamentary session in Athens, Friday, Aug. 14, 2015.
51	Greek Prime Minister Alexis Tsipras looks at his watch as he speaks to a parliamentary session in Athens, Friday, Aug. 14, 2015.
52	Greek lawmakers approved their country's draft third bailout in a parliamentary vote Friday that relied on opposition party support and saw the government coalition suffer significant dissent.
53	Greek Prime Minister Alexis Tsipras looks on during a parliamentary session in Athens, Friday, Aug. 14, 2015.
54	Greek Prime Minister Alexis Tsipras gives a speech during a parliamentary session in Athens, Friday, Aug. 14, 2015.
55	French Finance Minister Michel Sapin talk to Greek Finance Minister Euclid Tsakalotos, left, during a meeting of eurozone finance ministers at the EU Council building in Brussels on Friday, Aug. 14, 2015.
56	A Greek flag flutters next to visitors overlooking the city from the Acropolis hill in Athens, Greece, Friday, Aug. 14, 2015.
57	The Greek Parliament on Friday ratified the country's third bailout deal since 2010 to secure vital international financing to remain afloat and stay in the euro zone.
58	German Finance Minister, Wolfgang Schaeuble, speaks with the media as he arrives for a meeting of eurozone finance ministers at the EU Council building in Brussels, Friday, Aug. 14, 2015.
59	Dutch Finance Minister and chairman of the eurogroup Jeroen Dijsselbloem, right, walks with European Central Bank Governor Mario Draghi during a meeting of eurozone finance ministers at the EU Council building in Brussels on Friday, Aug. 14, 2015.