Greece presents new budget proposals that euro zone leaders welcome as a basis for a possible agreement in the coming days to unlock frozen aid and avert a looming default. Jillian Kitchener reports.
It's back to the negotiating table with Greece and Euro Zone leaders at the helm. Greece needs access to funds to avoid defaulting on a 1.6 billion euro IMF loan, due at the end of the month. They've offered new budget proposals -- including higher taxes and welfare charges -- that EU leaders welcomed as a basis for a possible agreement to unlock frozen aid. European Council President Donald Tusk, who chaired the emergency summit, calls the Greek proposals "a positive step forward." (SOUNDBITE) (English) EUROPEAN COUNCIL PRESIDENT DONALD TUSK, SAYING: "...Prime Minister Tsipras and the institutions will work together now so that the Eurogroup can achieve results on Wednesday evening that can be presented Thursday morning." The cash-for-reform deal would ease a crisis that is threatening to drive Greece out of the euro. Something German Chancellor Angela Merkel says she wants to avoid. (SOUNDBITE) (German) GERMAN CHANCELLOR, ANGELA MERKEL, SAYING: "All the participants in the discussion want Greece to stay in the euro zone. What Greece presented today is a certain progress but the discussion made it clear that there is still a lot of work to be done and that the time left is very short therefore we really need to focus on the work." Many Athens residents have withdrawn emergency money, but this man says there's no point. He says the austerity has already drained him of all his savings.