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Greece’s New Democracy seeks bailout coalition

Agencies

Posted On Tuesday, June 19, 2012 at 09:04:54 AM

A New Democracy party supporter celebrates as she watches exit polls in Athens
Athens: President Karolos Papoulias tasked Antonis Samaras, head of the pro-bailout New Democracy party, with forming a government, after Europe was left teetering on a financial cliff edge Sunday night following the tightest of polls in Greece.

The conservative party offered a glimmer of hope for the future of the euro by narrowly topping the nation’s second ballot in six weeks, but its leaders must now try to avert a financial meltdown by patching together a make-or-break coalition with their bitter rivals.

New Democracy boss Antonis Samaras insisted he will honour commitments to continue austerity measures in return for bailout cash. Declaring the result a victory for Europe, the new prime minister said: “The Greek people voted to remain in the eurozone... there will be no more adventures.”

New Democracy won 29.7% of the vote and, under Greek PR system, gets a 50-seat bonus – giving them 128 MPs. But the result leaves them 23 short of majority.

Anti-austerity Syriza won 27.1% of the vote and leader Alexis Tsipras conceded the election.

Former governing party Pasok were almost wiped out in Sunday’s poll with just 12.25% or 33 seats. They are now likely to act as king-maker.

Syriza, meanwhile, could refuse to be in a coalition with New Democracy and Pasok, raising possibility of further elections. Warning of tough times ahead, Tsipras said: “Syriza is the basic party for anti-bailout. Samaras has the possibility of forming a government. We will be present in developments in position as opposition. We won’t sacrifice our position.”

The result exposed a deeply divided society and could lead to protests against a coalition with less than 50% of support.

Greece’s lenders said the government must accept bailout conditions – on top of a 110 billion euro package in 2010 – or funds will be cut off, driving Athens to bankruptcy.







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