Final talks to avoid new Greek poll

THE Greek party seen as the last hope in yesterday’s last-ditch talks to form a cabinet and avoid new elections set tough conditions on joining a unity government hours before the talks began.

The leader of the Democratic Left party Fotis Kouvelis told Mega television a unity government should be formed to immediately cancel legislation that had slashed the minimum wage and facilitated layoffs, and to disengage Greece from an unpopular EU-IMF loan agreement.

But Kouvelis added: “I harbour doubts on whether a deal will emerge. I have very little hope.”

His comments came just hours before Greece’s president was to hold talks with political party chiefs in a final attempt to form a coalition after three parties failed at the task following inconclusive May 6 elections.

Kouvelis’s party is seen as the only one that could possibly join a coalition with the socialist Pasok and conservative New Democracy, which in turn is seen as the only plausible cabinet combination after the polls.

Such a coalition could muster 168 deputies in the 300seat parliament.

Greek parties have until Thursday, when parliament convenes to form a cabinet, or new elections will have to be called in June.

The leaders of New Democracy, the radical left Syriza party and Pasok, which took the top three places in last weekend’s polls, have all failed to build a coalition.

Syriza wants to tear up the EU-IMF loan deal altogether and is unlikely to cooperate.

The country’s international creditors have warned no new loan payments would be forthcoming if Greece faltered on structural reforms required to put the economy in order after decades of overspending by the state. — SAPA-AFP