The Greek parliament has adopted a package of austerity and privatization laws, thus meeting creteria for more EU-IMF bailout aid to stave off Greece's bankruptcy, widely seen as imminent otherwise.

Greece's MPs adopted the austerity and privatization bills Thursday evening with 155 votes in favor and 136 against, after on Wednesday the Greek Parliament adopted an unpopular EUR 28 B five-year euro austerity plan.

Thursday's package was passed with the votes of the ruling Pan-Hellenic Socialist Movement PASOK, while the rightist opposition New Democracy party voted against. It was passed in spite of continuing clashes between protesters and riot police in the streets of Athens.

The adoption of the package led euro and world stocks to rise as the measure provided for avoiding a sudden default on the Greek sovereign debt.

The Finance Ministers of the Eurozone states will decide on Sunday to allocate the next tranche of EU-IMF loans to Greece, and the IMF will do so on July 5, two days later.

The EUR 12 B loan will keep Greece afloat till August, allowing time for the allocation of a second bailout package like the EUR 110 B one the EU and IMF provited in the spring of 2010.

Greece's sovereign debt has reached EUR 340 B, 150% of its annual GDP.

Meanwhile, Germany's Finance Minister Wolfgang Schaeuble announced in Berlin as cited by international media that he had reached an agreement with German banks on private sector participation in a new assistance program based on a French plan for a voluntary debt rollover.

German enterprises are willing to provide EUR 3.2 B, about 10% of the sum expected from private bondholders, under France's plan.

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