Decision time in Greece

The leaders of Greece's coalition government have joined Prime Minister Lucas Papademos in a meeting to approve a draft deal on further austerity measures.

The heads of the socialist, conservative and far-right parties must approve the 50-page text before Greece can secure a vital second bailout worth 130 billion euros ($173 billion) from the European Union, the European Central Bank and the International Monetary Fund, an infusion of cash that is desperately needed to avoid state bankruptcy in March.

The three institutions, known as the troika, have demanded cuts to private sector wages and pensions, as well as public sector layoffs and cuts to the country's defense, pension and health budgets.

The document, reportedly "tweaked up to the last minute," was drawn up during late-night talks Tuesday between Prime Minister Lucas Papademos and representatives of the troika, after coalition talks were postponed for a third day. Press leaks have said the plan will include a cut of around 20 percent in the minimum wage and the elimination of about 15,000 public sector jobs.

Jean-Claude Juncker, president of the Eurogroup, said in a statement that the rest of the eurozone finance ministers would meet on Thursday in Brussels to discuss Greece's bailout. The statement was released as the Greek meeting was still going on.

Greek unions held a general strike on Tuesday, protesting the income cuts and sharp tax increases of the past two years.

An "agreement in principle" from the three coalition parties is now necessary before the plan is approved by parliament, which could take place as early as the weekend.

mz, cmk/ccp (AFP, AP)