Thursday, November 3, 2011

Greek P.M. seeks new government; drops referendum

by Anthee Carassava

Los Angeles Times

November 3, 2011

George Papandreou, Greece's beleaguered prime minister, has accepted an opposition proposal to form a temporary unity government that would secure approval of Europe's latest bailout plan, senior officials said Thursday.

The interim government would shepherd the bailout plan through parliament and then hold early elections, the officials said. Significantly, Papandreou would have to step down and not head the interim administration.

Anna Diamantopoulou, the Greek education minister, said Papandreou was prepared to accept the proposal from Antonis Samaras, head of the conservative New Democracy party, for a unity government.

Earlier, Papandreou said he would scrap his controversial bid to hold a referendum on the bailout plan and on Greece's membership of the Eurozone. In an address to members of his Socialist party in parliament Thursday evening, he said the referendum was no longer necessary now that opposition lawmakers were willing to help pass the new bailout plan after originally balking at it.

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