The Latest: Syriza Committee Members Slam Greece Agreement

Alexis Tsirpas

The latest on Greece's financial crisis (all times local):

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3:45 p.m.

More than half of the governing left-wing Syriza party's central committee has signed a statement slamming the agreement Greece reached with its European creditors earlier this week, describing it as a coup against their nation by European leaders.

The statement, signed by 109 of the committee's 201 members, says the agreement was "the result of threats of immediate financial strangulation" and is a new bailout with "humiliating terms of supervision, destructive for our country and its people."

Greece's parliament is expected to vote Wednesday on the austerity bill required to get a new bailout package.

"On July 12 a coup was carried out in Brussels that proved that the aim of the European leadership was the exemplary annihilation of a people who envisaged that another path could be followed beyond the neoliberal model of extreme austerity," the statement says. "A coup that goes directly against any kind of notion of democracy and popular sovereignty."

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3:15 p.m.

Germany says eurozone leaders were aware of the International Monetary Fund's analysis of Greece's debt situation when they drew up a preliminary bailout package and that, while Berlin takes the IMF's conclusions seriously, its position isn't new.

The IMF said Tuesday that Greece needs debt relief going "far beyond what Europe has been willing to consider so far." Germany says an outright debt cut would be illegal under European law and argues that there's only limited room for maneuver on lesser forms of debt relief.

Finance Ministry spokesman Martin Jaeger says that the European approach of making countries' debt sustainable by getting budgets in shape has worked well elsewhere.

He says Germany still believes that approach can work in Greece with the help of economic reforms and a privatization fund.

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2:55 p.m.

The European Commission says there are "serious concerns" about the sustainability of Greece's debt load amid a worsening in its economy.

The Commission says in a report that its main forecasts are for debt to reach 165 percent of GDP in 2020, 150 percent in 2022 and 111 percent in 2030. In an 'adverse' scenario, in which the economy does worse than expected, the debt load would hit a massive 187 percent, 176 percent and 142 percent, respectively.

The left-wing government of Prime Minister Alexis Tsipras took office in January. The Commission says that since the end of last year, there was a "very significant weakening of commitment to reforms and backtracking on previous reforms" which quickly led to a "significant deterioration of debt sustainability."

The Commission has cut its growth estimates and expects up to a 4 percent contraction in Greece's economy this year, compared with a 0.5 percent rise predicted early this year.

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2:30 p.m.

Greece's Alternate Finance Minister Nadia Valavani has resigned from government in protest over the austerity measures the country is asked to implement in exchange for a bailout.

Arriving in Parliament, Valavani said she was not going to vote in favor of the agreement, and that this meant she could not stay on as part of the government.

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