After resisting the move for at least two years, Greece has decided to raise the retirement age to 67, bringing it in line with Germany, its major creditor and an occasional critic of the Greek work ethic.

The Greek Finance Ministry finally reached an agreement with the 'Troika' (European Central Bank, European Union, and International Monetary Fund) to extend the Greek retirement age by two years as part of a new austerity package being elaborated for the country to continue its bailout programme.

Officials from the 'Troika' and the Greek government had been working on the measure until the early hours of Friday morning. The measure is expected to save €1.1bn.

However, both sides must still come up with measures in addition to those that have already been approved in order to cover the €11.5bn in savings demanded by 'Troika'. Greek Finance Minister Yannis Stournaras is expected to meet with the 'Troika' again on Friday afternoon.

Earlier this week Greece announced that it started selling off state property including former royal palaces, airports, and diplomatic residences abroad.


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