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Eurozone crisis live: Greece parliament approves austerity package

Amid violent scenes in Athens last night, Greek MPs passed a bill outlining over €3bn of spending cuts

7.57am: Germany’s economy minister has warned that last night’s vote will not be enough to guarantee that Greece receives its €130bn bailout.

Speaking earlier this morning, Phillip Rösler said the vote was merely a “necessary condition” on the path to Greece’s second rescue package, as Athens must also prove that the measures will be implemented.

Rösler added that the German parliament must receive a report on Greece from the Troika [the IMF, the EU and the ECB] before deciding whether to give its approval for the bailout fund.

That vote is expected to take place in the Bundestag on 27 February.

7.50am: The scenes of mayhem on the streets of Athens last night, and in other parts of Greece, show the depth of public anger against the package. As we reported last night:

More than 40 buildings were set ablaze in an orgy of looting that left scores injured as protesters vented their anger at the caretaker government and parliament’s ordering of a further €3.3bn of savings by slashing wages and pensions and laying off public sector workers.

This picture from last night shows protesters run away from teargas during clashes between protesters and riot police near the Greek parliament.

Prime minister Lucas Papademos warned that banks would collapse and schools and hospitals would be left without funds unless the bill passed. But 43 MPs failed to back the bill, with some arguing that Greece would be better off refusing to implement the measures and defaulting its debts. All those MPs have now been expelled from the coalition government.

7.45am: Good morning, and welcome to our rolling coverage of the eurozone financial crisis.

Late last night the Greek parliament approved the controversial austerity package demanded by its lenders in return for its second rescue fund. The vote took place as violent scenes raged in Athens, where running battles raged between protesters and riot police.

We’ll be following the reaction to the vote today in Athens, and across Europe.

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