Greece Likely Faces Fresh Poll Despite Talks

Wall Street Journal
May 7, 2012

• Greek conservative leader will receive mandate to start coalition talks
• Fresh elections look almost inevitable after fragmented vote
• Inconclusive vote fans fears country will leave euro, Greek stocks plunge

Greece's party leaders will begin cross-party talks Monday in an attempt to form a government but prospects of a coalition appeared dim after Sunday's vote delivered a political deadlock, making fresh elections almost inevitable and casting doubt over the country's future in the euro zone.

In a stinging rebuke of Greece's two mainstream parties and the austerity policies they backed, the Conservative New Democracy party and the Socialist Pasok party garnered less than a third of the vote combined.

More than 60% of the popular vote, instead went to fringe left- and right-wing parties that have campaigned against the austerity program Greece must implement in exchange for continued financing from its European partners and the International Monetary Fund.

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