Greek Prime Minister Alexis Tsipras has said it is time to end the “vicious cycle” of cuts and to start talks with the eurozone on debt relief.
The measures are needed to unlock further international bailout money, to be discussed at a meeting of eurozone finance ministers on Monday.
“We have an important opportunity before us for the country to break this vicious cycle, and enter a virtuous cycle,” Mr Tsipras told MPs.
Monday, he said, “is a very important day. After six years, the Eurogroup will meet to discuss debt relief”.
The meeting will talk about new debt relief measures with a view to avoiding the prospect of a default in July, when Greece is due make its next major repayment to the International Monetary Fund (IMF) and the European Central Bank.
Such progress on easing Greece’s debts was possible only after “root and branch reform” of the pension system was agreed, Mr Tsipras said.
The reforms agreed by parliament include:
raising income tax for high earners.
lowering tax-free thresholds.
introducing a national monthly pension of €384 (£302; $437).
phasing out a benefit for poor pensioners.
Mr Tsipras said the changes would not affect the majority of pensioners and moved towards a “sustainable” system.
