greece MPs debates

Greece's MPs are debating tough economic measures they must approve by the end of the day in order for a eurozone bailout deal to go ahead. The possible €86bn bailout was agreed on Monday, though one of Greece's creditors, the International Monetary Fund, says it does not go far enough. The deal requires Greece to increase taxes and raise the retirement age. Greek PM Alexis Tspiras said he does not believe in the deal, though he agreed to it. In a TV address on Tuesday, Mr Tspiras called the proposals "irrational" but said he was willing to implement them to "avoid disaster for the country" and the collapse of the banks. Follow the latest updates here In order to receive €86bn (£61bn; $95bn) from the EU over three years, Greek MPs on Wednesday need to approve: *.Ratification of the eurozone summit statement *.VAT changes: Top rate of 23% to extend to processed food, restaurants, etc; 13% to cover fresh food, energy bills, water and hotel stays; 6% for medicines and books. VAT discount of 30% to be abolished on islands, but remotest islands to keep discount until next year *.Corporation tax raised from 26-29% for small companies *.Luxury tax for big cars, boats and swimming pools up from 10-13%; farmers' tax up from 13-26% *.Early retirement to end (phased in by 2022); retirement age raised to 67 *.Greek statistics authority Elstat to have full legal independence The IMF reportwas written before the eurozone reached a deal with Greece in the early hours of Monday, and was shared with eurozone leaders in advance, but was made public only on Tuesday. It predicts that, in two years' time, Greek debt would reach close to 200% of GDP (national income) which could "only be made sustainable through debt relief measures that go far beyond what Europe has been willing to consider so far". It recommends a "very dramatic extension" on the maturity of Greece's debts, "with grace periods of, say, 30 years on the entire stock of European debt".