Europe’s debt drama dominated talks among leaders of the Group of 20 leading economies in Cannes today with Greece’s government facing potential collapse.

German Chancellor Angela Merkel says Europe needs to tackle its debt crisis, with or without Greece.

A better-than-expected US employment report distracted traders from eurozone woes and boosted markets on both side of the Atlantic.

French President Nicolas Sarkozy will hold emergency talks today with European leaders in a last-ditch bid to salvage his G20 meeting following the Greek referendum turmoil.

ITALIAN Prime Minister Silvio Berlusconi repeated promises of economic reform as Italian bonds came under renewed attack in the eurozone crisis and the centre-left opposition asked the president to name a new government.

The European Union must stick with the emergency bailout package for the crisis-stricken Greek economy, Chancellor George Osborne said today.

EUROPEAN leaders may struggle to maintain the euphoria that drove the euro to its biggest one-day gain in more than a year as scrutiny deepens on their latest attempt to stem the region’s turmoil.

GREECE last night approved €6.6 billion worth of austerity measures to meet revised deficit targets and satisfy the terms of a European Union-led rescue.

THE French President Nicolas Sarkozy said yesterday he would meet German Chancellor Angela Merkel soon to discuss Greece’s debt troubles. He said support for Greece was a moral obligation for Europe.

Greece’s international debt inspectors are due back in Athens today to decide whether to recommend the debt-laden nation receives the vital next instalment of bail-out loans.

GERMAN Chancellor Angela Merkel may fall short of a majority in her own coalition for a crucial reform of the eurozone rescue fund meant to stop a sovereign debt crisis spreading, in what would be a severe blow to her authority, a test vote has showed.

Stock markets are rallying for a second day amid commitments from world leaders to address the global debt crisis.

Greek Prime Minister George Papandreou said today that his debt-ridden country has “great potential” and can emerge from its deep economic and financial crisis.

GREEK Prime Minister George Papandreou’s government has said it will accelerate budget cuts, targeting civil servants’ wages and pensioners to keep emergency loans flowing and avoid default.

The leaders of France and Germany say they are convinced that debt-ridden Greece's future lies in the eurozone.

A German minister has suggested the eurozone could do without Greece.

The Greek Prime Minister George Papandreou is to discuss Greece's debt crisis with German Chancellor Angela Merkel and French President Nicolas Sarkosy today.

German chancellor Angela Merkel sought to calm market fears that Greece was heading for a chaotic default as Europe struggled to contain a crippling financial crisis.

Greek Prime Minister George Papandreou is urging the European Union to deliver on promises to provide more rescue loans after Greece approved a massive package of tax increases and spending cuts.

FRANCE yesterday offered a radical solution for banks to roll over holdings of Greek debt for 30 years as the Greek government fought to get backbench rebels to support a crucial austerity plan to avert bankruptcy.

GREECE cleared its first hurdle in getting a vital €12 billion loan to pay debts next month and avoid default as the government won a vote of confidence.

It remains to be seen whether the souped-up austerity policies promised by Greece will work, writes Dani Rodrik

THE cost of borrowing for the country continues to hit record highs, peaking at 9.25% yesterday, despite pledges of support from Europe.

Three people died in a blaze at an Athens bank today during rioting over government spending cuts.

Protesters tried to storm Greece's parliament and hurled paving stones at police today as tens of thousands of outraged Greeks took to the streets of Athens to protest at spending cuts aimed at saving their country from bankruptcy.

Greece must undergo more spending cuts to survive, Prime Minister George Papandreou declared today, as talks on an international rescue plan entered the final stages.

IRELAND’S contribution to the Greek bailout is expected to increase to €1.3 billion when details of the rescue package are released over the weekend.

Greece expects to receive the first tranche of funds under a €45bn EU-IMF aid package before May 19.

THE Greek parliament approved new spending cuts and taxes yesterday aimed at defusing the country’s debt crisis, while protesters opposed to the measures fought with police outside.

Violent protests against planned new spending cuts ripped through Athens today with riot police having to use tear gas against crowds.

Greece was hit by another wave of protest strikes today as Prime Minister George Papandreou held talks with European leaders looking for more support over the debt crisis.

Greece was urged today to do more to restore its crisis-hit economy if it wants to qualify for a bail-out from other EU countries.

A PROTEST march by 50,000 Greeks over planned government cuts to bring burgeoning debt under control ended in violent clashes with police yesterday.

Greece’s newly-elected socialist government won a vote of confidence in its programme.