ATHENS, Greece - Firefighters doused smouldering buildings and cleanup crews swept rubble from the streets of central Athens on Monday following a night of rioting during which lawmakers approved harsh new austerity measures demanded by bailout creditors to save the nation from bankruptcy.
At least 45 buildings were burned, including one of the capital's oldest cinemas, while dozens of stores and cafes were smashed and looted.
The stench of tear gas still hung in the air on Monday morning, choking passers-by. More than 170 people were hurt in the rioting which also broke out in other Greek cities. Authorities said 106 police needed medical care after being injured by gasoline bombs, rocks and other objects hurled at them, while at least 70 protesters were also hospitalized.
Police arrested at least 74 people and detained a further 92, while in several cases they had to escort fire crews to burning buildings after protesters prevented access.
The rioting began Sunday afternoon ahead of a landmark vote in Parliament on yet more austerity measures. The drastic cuts debated in parliament include axing one in five civil service jobs over the next three years and slashing the minimum wage by more than a fifth.
Lawmakers approved the bill in a 199-74 vote — to the relief of investors who pushed the Athens stock index up 5 per cent on Monday.
The vote paves the way for Greece's international creditors to release €130 billion ($172 billion) in new rescue loans to prevent the country from a potentially catastrophic default next month — bankruptcy could push Greece out of Europe's euro currency union, drag down other troubled eurozone countries and further roil global markets.
The new bailout deal, which has not yet been finalized, will be combined with a massive bond swap deal to write off half the country's privately held debt, reducing Greece's debt load by about €100 billion.
However, it could take time before the country actually receives any of the cash. For both deals to materialize, Greece has to persuade its deeply skeptical creditors that it has the will to implement spending cuts and public sector reforms that will end years of fiscal profligacy and tame gaping budget deficits.
Eurozone finance ministers are to meet on Wednesday to discuss the issue, after refusing to approve the plan during a meeting last week, saying Athens had to first approve the new austerity measures.
German Finance Ministry spokeswoman Marianne Kothe said Monday that the ministers will not make a final decision on the second aid package for Greece on Wednesday. She said the bond swap agreement must be finalized first, and the ministers will focus on all steps and measures "necessary for the second Greek package."
Before signing off on the bailout, the eurozone ministers also want Greek political leaders to commit in writing to uphold the austerity plan even after the general election in April. Government spokesman Pantelis Kapsis said the written guarantees are needed by Wednesday.
In the vote on the new bill, there was nevertheless strong dissent over the austerity package among the majority Socialists and rival Conservatives who make up Greece's interim coalition government. The parties disciplined the dissenters in their ranks, with the Socialists and Conservatives expelling 22 and 21 lawmakers respectively, reducing their majority in the 300-member parliament from 236 to 193.
Germany gave the vote result a cautious welcome, with Foreign Minister Guido Westerwelle describing it as "a first significant step along the right road."
"However, the actual difficult work with implementing the reforms that have been agreed on is only just starting now," he said in a statement. "That is the decisive precondition for Germany and the other euro partners being able to stand by Greece with a further rescue package."
"Embarking on implementation is decisive now," Westerwelle said.
German Chancellor Angela Merkel's spokesman, Steffen Seibert, said the reforms "show the will and readiness of the Greeks to make great efforts of their own ... to put the country on the right track."
"These measures, and we really have to note this, are not just saving for the sake of saving, they are not cutting for the sake of cutting — this is about reforms in every political area," he said. "These are measures that are meant to restore step by step the financial room for manoeuvr that the country needs for new jobs and new growth to emerge."
An upcoming report by Greece's international debt inspectors from the European Commission, European Central Bank and International Monetary Fund — known as the "troika" — will be key to determining whether the measures Athens has taken suffice to allow it to carry its debts and get further aid.
Sunday's clashes erupted after more than 100,000 protesters marched to the parliament to rally against the drastic cuts.
Finance Minister Evangelos Venizelos insisted the country's economic survival hinged on the passage of the new measures.
"The question is not whether some salaries and pensions will be curtailed, but whether we will be able to pay even these reduced wages and pensions," he said in Parliament before the vote. "When you have to choose between bad and worse, you will pick what is bad to avoid what is worse."
The further cuts come after two years of deep spending cuts and repeated tax hikes that have sent unemployment soaring to more than 20 per cent and left the country struggling through a fifth year of recession.
Those measures were taken in return for a first, €110 billion ($145 billion) package of rescue loans from other eurozone countries and the International Monetary Fund, but despite the cutbacks, Greece repeatedly failed to meet its fiscal targets in reducing its debt and deficit and increasing economic competitiveness.
Geir Moulson and Juergen Baetz in Berlin and AP Television in Athens contributed to this report.