February 11, 2012 1:38 PM

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Greece okays fresh austerity measures

Greece's Cabinet has approved fresh austerity measures demanded by the eurozone and IMF in return for a 130 billion-euro bailout. The draft bill must now be passed by the Greek Parliament and approved by European Finance Ministers. Five Ministers have resigned from the government over the issue, with one junior party in the coalition, saying the demands were humiliating.The Unions began a 48-hour strike on Friday with protesters clashing with police. Prime Minister Lucas Papademos has warned that the country faces uncontrolled economic chaos if it fails to agree on cuts in spending and defaults on its debts.

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