- Associated Press - Tuesday, October 9, 2012

ATHENS (AP) — German Chancellor Angela Merkel got a hostile reception from many ordinary Greeks on Tuesday when she flew into Athens on her first visit to the country since its debt crisis erupted three years ago.

But she praised the current Greek government for covering “much of the ground” required for recovery.

“I hope and wish that Greece remains a member of the eurozone,” Mrs. Merkel said. “As partners, we are working hard to achieve that.”

Her visit triggered protests attended by some 50,000 demonstrators in Athens. The rallies were mostly peaceful, but police briefly clashed with several dozen demonstrators and detained nearly 200 people throughout the day.

As Europe’s largest contributor to the bailout fund that has rescued Greece from bankruptcy, Germany is viewed by many Greeks as the primary enforcer of the austerity measures the Greek government has enacted in exchange for emergency aid.

Debt monitors from the European Union, International Monetary Fund and European Central Bank, known as the “troika,” will deliver a report within coming weeks on whether Greece should receive its next bailout payment, without which it will go bankrupt.

Mr. Merkel, who stopped in Athens for five hours, said the coalition government led by Prime Minister Antonis Samaras still had to push through more key cost-cutting reforms.

“Much of the ground has been covered. … There is daily progress,” Mrs. Merkel said after talks with Mr. Samaras. “This is an effort that should be seen through because otherwise it would make the circumstances even more dramatic later on.”

Although the German leader damped expectations in Athens of a stronger message of public support for Greece, Mr. Samaras said Mrs. Merkel’s visit had ended “the country’s international isolation.”

Greece has depended on bailouts from Europe and the IMF since May 2010. To get the loans, it has implemented a series of deep budget cuts and tax increases while increasing retirement ages and facilitating private-sector layoffs. To date, Greece has received 240 billion euros ($310 billion) in bailout loans and has renegotiated a 110-billion-euro ($141.62 billion) deal on the repayment of some of its bonds.

However, Athens must pass further austerity measures worth 13.5 billion euros ($17.38 billion) over the next two years to qualify for its next rescue loan payment — without which the government will run out of cash next month.

Enduring austerity is set to extend Greece’s recession to a sixth year in 2013 and push the rate of unemployment up to nearly 25 percent, according to government estimates.

Greece is determined to carry out its commitment and overcome the crisis,” Mr. Samaras said. “At this moment, the country is bleeding but is determined to remain in the euro. … We are not asking for more money or favors — but only a chance to stand on its feet.”

Mrs. Merkel’s stop in Athens was welcomed by the Greek government as a much-needed boost for the country’s future in Europe, but protesters viewed it as a harbinger of further austerity and hardship.

Dozens of youths broke away from the peaceful rally and threw rocks and flares at riot police, who responded with pepper spray and stun grenades, in clashes that were relatively minor.

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