June 20, 2011 11:14 AM

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Eurozone postpone final decision on loan to Greece

Eurozone finance ministers have postponed a final decision on a 12bn-euro loan to Greece until it introduces further austerity measures. The ministers said they expected to pay the latest tranche of a 110bn-euro EU and IMF aid package by mid-July. But it will depend on the Greek parliament passing 28bn euros of new spending cuts and economic reforms. The ministers also committed to put together a second bail-out to keep the country afloat over the coming years. The Greek government expects it to be similar in size to the first one. Athens has said it needs funds by July to avoid defaulting on its debt.

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