ATHENS — Euro zone finance ministers, meeting in Athens under tight security on Tuesday, approved the release of 8.3 billion euros in rescue loans to Greece, pointing to signs that the country is emerging from its economic crisis.
“It has been an arduous process, but now we have a positive outcome,” Jeroen Dijsselbloem, the Dutch finance minister and head of the Eurogroup of finance ministers, said at a news conference in Athens announcing loans worth $11.5 billion.
In light of recent street demonstrations by Greeks protesting the belt-tightening measures that have been necessary to keep the bailout money flowing, security in Athens was stepped up for the event. The police banned demonstrations in much of the city center, and helicopters circled the site where foreign dignitaries were gathered.
The talks focused on the progress of Greece’s economic overhaul and the enduring problem of unemployment that plagues much of the euro zone. The agenda also included the continued efforts to form a more unified banking system in Europe, a possible package of financial assistance to Ukraine and the political context in France after the ruling Socialists’ big losses in local elections over the weekend.
As for Greece, Mr. Dijsselbloem said a seven-month review by the country’s international lenders — the troika consisting of the European Commission, the European Central Bank and the International Monetary Fund — “can now be closed” after the Greek Parliament’s approval of economic overhauls on Monday.
The provisions included contentious measures lifting barriers to competition and a new framework for the recapitalization of Greek banks. The troika’s review was the longest — and Greek officials said it was the toughest — since Athens signed its first loan agreement with the lenders in the spring of 2010.
Greek officials and representatives of the lenders said efforts to overhaul the economy had yielded the first indications of a return to growth in Greece after six of years of grinding recession that has hammered living standards and pushed unemployment to a record level of nearly 28 percent. Officials in Athens are eager to begin talks on lightening the huge debt burden, considering that Greece is on track to post a budget surplus this year before debt repayments. It forecasts that this primary surplus will come in at €2.4 billion for 2013.
