Angry protesters set fire to two TV outside broadcast vans in Athens as thousands of Greeks marched through the capital on May Day to protest against austerity measures they say only hurt the poor.
At one rally, police fired two or three rounds of tear gas against 20 protesters trying to reach parliament. The protesters retreated and the march, which was otherwise largely peaceful, continued, a witness said.
Shops were closed, ships stayed docked and the streets of the capital were unusually empty except for protesters marching towards parliament, metres away from the finance ministry where EU and IMF officials have been meeting for days to agree a new set of austerity measures.
"No to the IMF's junta!" protesters chanted, referring to the military dictatorship which ruled Greece from 1967 to 1974.
"Hands off our rights! IMF and EU Commission out!" the protesters shouted as they marched to parliament.
A common call among many of those interviewed in the unusually empty streets of Athens was for punishment of those responsible for Greece's biggest crisis in decades, in a country where corruption scandals and tax evasion are widespread.
"We should throw all the crooks into the sea, all the people and politicians who are responsible for this crisis," said 58-year old insurance worker Sotiris Oikonomou.
With initial police estimates at around 17,000 protesters, participation in the march seemed to be around the same level as previous anti-austerity protests. Some were resigned to the fact that the government would move ahead with reforms anyhow.
Greece is preparing measures to cut its budget deficit by €24 billion to secure European Union and IMF aid of up to €120 billion over three years. Investors hope this will stop the crisis from sinking other fragile EU economies.
But the Greek government faces a battle with unions, which have been angered by the scale of the cutbacks, and social unrest could prevent prime minister George Papandreou from pushing through the austerity measures.
The public sector union has also called a four-hour strike for Tuesday, on top of a nationwide strike already set for Wednesday.
Deputy prime minister Theodoros Pangalos, however, was confident the measures could be effectively implemented, echoing a call for unity by Mr Papandreou.
"The demonstrations and strikes are normal in a democracy. It is normal people are not happy. We will help by trying to persuade the people, introducing new developments and strategies," he said after opening the Greek pavilion at the Shanghai Expo.
The austerity measures Greece is likely to implement as part of a pending financial rescue deal will be enough to help avert default on the country's debts, Mr Pangalos said today.
Talks to secure billions of euros in European Union and IMF aid to Athens in return for draconian budget cuts are edging towards a close, with European banks expected to contribute.
The European Commission said negotiations on the loan package should be wrapped up today. French economy Minister Christine Lagarde said she expected a package of €100-120 billion to help Greece out of its debt crisis, and had "good hopes" a deal could be reached by the end of this weekend.
"The austerity measures will be efficient enough to avert a default," Mr Pangalos said.
Greece is doing what it can to respond to the crisis, putting the ball in Europe's court, including on the issue of speculation, he said.
Market speculators have been blamed for aggravating Greece's woes, as bets on the likelihood it might default on its debt have sharply driven up its borrowing costs.
The European Commission, European Central Bank, the IMF and the Greek government will unveil Greece's austerity programme tomorrow morning in Athens, euro zone spokesman Guy Schuller said.
The euro zone finance ministers will meet a few hours later in Brussels to approve the loan package and spell out its full size, he said.
European banks will contribute to the bailout, Germany said yesterday and that could make it easier for EU governments to persuade taxpayers to rescue Greece from its debt crisis.
A senior banking source told Reuters that Deutsche Bank AG chief executive Josef Ackermann, at the request of Germany's finance minister, was helping coordinate efforts by the German private sector to support the rescue package.
The consortium has already pledged to contribute between €1 and €2 billion, which could involve buying Greek government debt, but no formal agreement has been struck, the source said.
German chancellor Angela Merkel, in an interview to be published tomorrow in Bild am Sonntag newspaper, said she would welcome a "voluntary participation from banks".
Reuters