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Greece's Papandreou faces crucial confidence vote

Other News Materials 4 November 2011 11:27 (UTC +04:00)
Greek Prime Minister George Papandreou faced a crucial confidence vote in parliament on Friday, just hours after calling off a controversial referendum on the EU debt deal
Greece's Papandreou faces crucial confidence vote

Greek Prime Minister George Papandreou faced a crucial confidence vote in parliament on Friday, just hours after calling off a controversial referendum on the EU debt deal, DPA reported.

The prime minister's Socialists hold a slim 2 seat majority of 152 in the 300-seat parliament. If Papandreou loses the vote, the government collapses and early elections must be held within 30 days.

President Karolos Papouloas would try to bring parties together to form a national administration under a new prime minister or invite opposition parties to form a government.

Former European Central Bank Vice President Loukas Papademos has reportedly been mentioned in connection with the post of prime minister in the interim government.

Papandreou struggled to hold on to power after the country's main opposition New Democracy party on Thursday rejected an offer to form a national government, raising the prospect that aid under an international multi-billion euro bailout could be delayed.

"Papandreou almost destroyed Greece and Europe, the euro, international markets and his own party," said New Democracy leader Antonis Samaras, who has renewed calls for the prime minister to resign and call early elections.

Papandreou was earlier forced to scrap a referendum on the debt deal, bringing Greece closer to defaulting on its debts.

The bailout deal would give the country 130 billion euros and impose a 50 per cent write-off on private holders of Greek debts, in return for years of deeply unpopular austerity measures.

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