Greece receives 'junk' credit status
Updated on 27 April 2010
A top credit rating agency downgrades Greek bonds, along with the nation's commercial banks, to junk status amid continuing protests which fuel fears over eurozone debt.
Workers have continued to protest across Greece as the country struggles to deal with a debt crisis.
Thousands took to the streets chanting "Hands off our salaries" in demonstration over proposed job cuts after Greece bowed to market pressure and asked to activate an aid package of up to 45bn euros from the European Union and International Monetary Fund.
Protesters say the aid package, which would see spending cuts and tax hikes, will lead to further belt-tightening.
The latest protests took place as Standard and Poor's rating agency downgraded Greek bonds to junk status on concerns about the eurozone member's ability to handle its debt mountain and doubts over the government's capacity to implement reforms.
US stocks fell following the news of the downgrade as investors fear political pressures could block the multi-billion euro bailout.
Eurozone leaders are discussing the possibility of holding a special summit in Brussels on 10 May to activate the aid package, a spokesman for the Spanish government said on Tuesday.
"There are talks at the highest level, and 10 May is the first available date after the vote for activation in the Greek parliament on May 6 or 7," said the spokesman, whose country holds the European Union's rotating presidency.
"The talks were already going on and have nothing to do with the downgrades by ratings agencies," the spokesman told Reuters.
