More than 40 buildings set alight in capital as austerity plan is voted in despite fierce opposition
It is a night that will be remembered for burning buildings and scenes of mayhem in Athens while politicians passed the controversial rescue programme aimed at averting Greece's economic collapse.
As more than 40 buildings went up in flames, including two historic cinemas and several banks, Athens city centre was left resembling a war zone with cafes and shops smashed and looted as MPs backed the austerity measures by 199 votes to 74 in the single most important ballot in modern Greek history.
The chaos dominated one of the stormiest debates seen in the Greek parliament as MPs argued over a raft of strict measures demanded in return for international aid. Clashes were also reported in Thessaloniki, Patras, Corfu and Crete.
Wrapping up the session, the Greek prime minister, Lucas Papademos said: "Vandalism, violence and destruction have no place in a democratic country and won't be tolerated."
Emerging from the 300-seat chamber, Antonis Samaras, the conservative New Democracy leader who had previously claimed that rejection of the bill would lead to the "pillaging"of Greece said: "What we are seeing are scenes from a tomorrow that must absolutely be avoided."
In what appeared to be a well-organised plan, young protesters armed with petrol bombs and wearing masks, set buildings ablaze as police fired stun guns and rounds of teargas in retaliation. Two police stations were also targeted.
The violence erupted as tens of thousands of demonstrators – many clearly from the austerity-hit middle class in designer spectacles and trendy attire – converged on Syntagma square in front of the parliament to denounce the wage, pension and job cuts envisaged in the €130bn loan agreement. Banners proclaiming "Popular uprising!", "It's us or them!" and "Don't gamble away all we have achieved" were prevalent.
"How can we be saved from those people" asked Mary, a 48-year-old supermarket employee, pointing in the direction of parliament. "They brought us to this point. They want to reduce the minimum wage for those working a four-hour work shift from €340 to €180. How can anyone live on that?"
Ersi Kousougli, from the working class district of Egalio, said: "If they apply these measures the whole nation will be bankrupt soon. It's better to start from zero, all over again. Doing it this way, going along with these conditions, just robs us of our dreams and sends our children abroad. What makes me really mad is that the Germans think we are lazy, that we never work when most Greeks hold two jobs and are not to blame for this mess."
More than 5,000 police officers were dispatched to the capital with units being brought in from the countryside in anticipation of clashes that broke out within an hour of demonstrators gathering.
Right up until the vote MPs citing the counterproductive effects of austerity either defected or appeared uncertain which way they would cast their ballots.
Parliamentary approval was one of three conditions Athens must meet by Wednesday for fresh rescue funds to be released by 20 March when Greece must cover €14.5bn (£12.1bn) in bond repayments.
With the stakes so high, many reform-minded Greeks welcomed Papademos's dramatic intervention as long overdue.
"At last the prime minister has spoken directly to the people and told the truth," said the former finance minister Stefanos Manos. "I hope the unthinking adherents of the [return of the] drachma and bankruptcy will listen to him."
But amid mounting opposition to the measures, the Communist party lambasted the speech as "scaremongering".
Foreign lenders have demanded that in addition to the €3.3bn cuts outlined in the package Greece also provides evidence of €325m in extra savings by next week. The leaders of the two main parties backing Papademos's interim coalition government have also been asked to give written guarantees of their commitment. The government's junior party, the populist far-right Loas, broke ranks on Friday, refusing to support the belt-tightening.
The German finance minister, Wolfgang Schäuble, warned: "With a new austerity programme they are going to first have to implement parts of the old programme … It's important to say that it cannot be a bottomless pit. Greeks have to close that pit. Then we can put something in there."But MPs' opposition to the measures – illustrated by the resignation of six cabinet ministers and avowed refusal of politicians from the left and right yesterday to toe their parties' line by endorsing the deal — was further proof of how difficult implementation would be.
Forthcoming elections are expected to change Greece's political landscape dramatically, with many of the MPs voting yesterday unlikely to be re-elected to the 300-seat parliament. With the rise of leftwing parties that have vehemently opposed the budget cuts, commentators said it was very unlikely the reforms would be enforced despite the pivotal ballot.