Greek president attempts 11th-hour coalition talks

Greek President Karolos Papoulias called for the leaders of Greece's political parties to meet on Sunday, in a last-ditch effort to broker a deal for a coalition government and avoid another general election.

Papoulias took the step Saturday after Greece's socialist leader Evangelos Venizelos officially gave up the mandate to form a coalition government after three rounds of negotiations proved fruitless .

Papoulias' office announced that the president would meet initially with the heads of the three parties that won the most votes in last Sunday's inconclusive elections —the conservative New Democracy, radical left-wing Radical Left Coalition (Syriza) and socialist PASOK. He will then meet individually with the leaders of the other four parties that won enough votes for parliamentary seats — the right-wing nationalist Independent Greeks, the Communists, the extreme-right Golden Dawn and the moderate left Democratic Left.

The format was designed to bring everyone to the table, as Syriza leader Alexis Tsipras had threatened to boycott the talks rather than sit at the same table with Golden Dawn leader Nikos Michaloliakos.

In theory, the president's talks with the party leaders could drag until the scheduled date for the opening of the new parliament, on May 17th. In practice, precedent shows that talks could take two or three days, George Katrougalos, a professor of constitutional law, told the Associated Press. It is also possible that an impasse could be reached Sunday.

If Papoulias fails to broker a coalition agreement, Greece will have to hold new elections next month, most likely on June 10th or 17th, prolonging the political uncertainty and bringing Greece's euro membership into question.

Voters angry at the handling of the country's severe financial crisis and two years of harsh austerity measures imposed in return for billions of euros in international rescue loans deserted the two main parties in elections last weekend.

Debt warning

The head of Germany's central bank is warning that there would be no basis for further financial aid to Greece if the country backs off agreements with international creditors.

Bundesbank chief Jens Weidmann was quoted Saturday as telling the daily Sueddeutsche Zeitung: "If Athens doesn't stand by its word, that is a democratic decision — but that means the basis for further financial aid falls away."

Weidmann's comments come as Greek politicians, divided over the value of austerity and reform measures that creditors demanded in exchange for rescue loans, flounder in efforts to form a new government.

Weidman says that if Greece ended up leaving the euro "the consequences would be more serious for Greece than for the rest of the Eurozone."

Original Article
Source: CBC
Author: AP