Time running out for deal in Greece
Source: Agencies |
May 14, 2012, Monday
|
Print Edition
Print Edition
CRITICAL last-ditch talks to form a coalition government in Greece floundered once more yesterday, leading the country one step closer to new elections, although the socialist party leader said he retained "existing but limited" optimism for a deal.
The political uncertainty has alarmed international creditors who have given Greece billions of euros in bailout loans over the past two years, and has thrown the country's continued presence in the European Union's currency into serious doubt.
President Karolos Papoulias convened the heads of the parties that came in the top three spots in inconclusive elections a week ago in an ultimate effort to broker an agreement after a week of talks led to deadlock. The meeting ended without a solution, but the process was continued while the president was holding individual meetings with the leaders of smaller parties that made it into parliament.
Voters furious at the handling of Greece's financial crisis and two years of austerity measures taken in return for international bailout loans punished the formerly dominant socialist PASOK and conservative New Democracy parties in the elections. The two saw their support crumble to the lowest point in decades, while the Radical Left Coalition, or Syriza, made big gains to come in second after campaigning on an anti-bailout platform.
The PASOK and New Democracy leaders could form a coalition with the smaller Democratic Left party of Fotis Kouvelis - together they would have 168 seats in the 300-member parliament. New Democracy won 18.9 percent last Sunday while PASOK garnered just 13.2 percent, compared to nearly 44 percent in 2009.
Kouvelis' 6.1 percent put him in a kingmaker position, with 19 seats. But all three insist any power-sharing deal must include Syriza, led by the 38-year-old Alexis Tsipras.
Tsipras, however, insists he cannot lend his support to a government that will continue implementing the terms of Greece's international bailout. In return for 240 billion euros (US$310 billion) in loans, Greece has imposed severe spending cuts, including slashing pensions and salaries in the public sector.
Papoulias' mediation to broker a deal could continue until May 17, the scheduled opening date for the new parliament. If there's no agreement, new elections will have to be held next month.
The political uncertainty has alarmed international creditors who have given Greece billions of euros in bailout loans over the past two years, and has thrown the country's continued presence in the European Union's currency into serious doubt.
President Karolos Papoulias convened the heads of the parties that came in the top three spots in inconclusive elections a week ago in an ultimate effort to broker an agreement after a week of talks led to deadlock. The meeting ended without a solution, but the process was continued while the president was holding individual meetings with the leaders of smaller parties that made it into parliament.
Voters furious at the handling of Greece's financial crisis and two years of austerity measures taken in return for international bailout loans punished the formerly dominant socialist PASOK and conservative New Democracy parties in the elections. The two saw their support crumble to the lowest point in decades, while the Radical Left Coalition, or Syriza, made big gains to come in second after campaigning on an anti-bailout platform.
The PASOK and New Democracy leaders could form a coalition with the smaller Democratic Left party of Fotis Kouvelis - together they would have 168 seats in the 300-member parliament. New Democracy won 18.9 percent last Sunday while PASOK garnered just 13.2 percent, compared to nearly 44 percent in 2009.
Kouvelis' 6.1 percent put him in a kingmaker position, with 19 seats. But all three insist any power-sharing deal must include Syriza, led by the 38-year-old Alexis Tsipras.
Tsipras, however, insists he cannot lend his support to a government that will continue implementing the terms of Greece's international bailout. In return for 240 billion euros (US$310 billion) in loans, Greece has imposed severe spending cuts, including slashing pensions and salaries in the public sector.
Papoulias' mediation to broker a deal could continue until May 17, the scheduled opening date for the new parliament. If there's no agreement, new elections will have to be held next month.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
