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German parliament endorses Greek bailout

The German parliament has voted to endorse a second Greek rescue package
The German parliament has voted to endorse a second Greek rescue package

German lawmakers voted overwhelmingly Monday to endorse a second second Greek rescue package.

The vote was won despite growing German unease over Greece's ability to push ahead with painful austerity measures and remain in the eurozone.

Deputies voted by 496 to 90, with five abstentions, to approve the deal to hand Athens another €130bn.

It comes just days before a key European Union summit later this week to ratify the package.

Chancellor Angela Merkel had warned lawmakers gathered for the special session to vote on the package, that Greek bankruptcy would entail “incalculable” risks.

"No-one can assess what consequences would arise for the German economy, on Italy, Spain, the eurozone as a whole and finally for the whole world," Chancellor Angela Merkel said.

It was not immediately clear if Chancellor Merkel, facing a revolt from a small group of members of parliament from her own coalition, had to rely on opposition votes to pass the €130bn Greek rescue programme.

Two of the three opposition parties had vowed to support the motion.

However 15 MPs from her coalition defied her in a September 29 vote on beefing up the eurozone's rescue fund and around a dozen lawmakers had indicated they might stick to their guns in today’s vote.

Prior to the vote, German Interior Minister Hans-Peter Friedrich caused a stir by saying Greece should be given "incentives" to leave the eurozone so it could then better put its fiscal house in order.

While stressing that he did not mean Greece should be kicked out of the 17-nation bloc, his comments fly in the face of the German government's repeated wish for Greece to remain in the eurozone.

A majority of Germans oppose giving more aid to Greece according to a new poll by the Emnid institute.

Its survey found that 62% said the German parliament should vote “no” in today’s vote, while 33% called for its approval.