Tsipras submits bailout bill to Greek parliament

Greek lawmakers have until Wednesday night to adopt the bill, which must be passed before talks can begin on a crucial bailout for the cash-strapped country.

The first tranche of sweeping reforms - which included unpopular changes to Greece's taxes, pensions and labor rules - caused a mutiny within Greek Prime Minister Alexis Tsipras' left-wing Syriza party. The measures were only pushed through thanks to support from pro-European Union opposition parties. The prime minister was forced to reshuffle his cabinet on Friday after sacking three rebels who voted against the package.

The second bailout bill isn't expected to be as controversial as the first round of reforms, but the government will likely have to rely on votes from the opposition again.

Tuesday's legislation includes changes to the civil code aimed at streamlining legal proceedings and new EU rules on propping up failed banks, decreed after the 2008 financial crisis. Lawmakers will only have to vote on thornier issues, such as scrapping earlier retirement and tax hikes affecting farmers, at a later stage, government officials said.

Tsipras has 162 seats in the 300-seat parliament, together with his coalition partners from the right-wing Independent Greeks party. Last week's rebellion cut his support to just 123 votes.

On Monday, Greece reopened its banks for the first time in three weeks, although strict limits on cash withdrawals remain in place. The country was also able to repay billions of euros it owed to the International Monetary Fund and the European Central Bank after receiving a three-month loan from the European Union.

This week also saw the introduction of widespread tax increases - a step taken after Athens struck a deal with the eurozone to implement tough austerity reforms in exchange for negotiations on a new bailout deal worth 86 billion euros ($93 billion). Greece has already received 240 billion euros in two previous bailouts in the last five years.

nm/kms (Reuters, AFP)