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Roundup: Greek PM vows to stick to reforms as political crisis deepens

Source:Xinhua Published: 2013-6-21 13:25:21

Amid deepened political crisis and prospect of early elections, Greek Prime Minister Antonis Samaras vowed Friday that the government would stay on to complete the needed reforms to save the country.

"The priority now is to continue the government's work so that Greek peoples' sacrifices will bear fruits...I will move forward, in any case. Our goal is to complete efforts to save the country," Samaras said in a televised address.

Early elections may be triggered by a political crisis, which broke out last week over the closure of the national broadcaster and deepened late Thursday as Samaras failed to reach a solution with his two center-left coalition partners.

"Nobody wants elections at this moment...We have completed one year in government today. We have three more years left. We will stay on for the benefit of the Greek people," stressed the conservative leader.

He did not clarify if he would seek a confidence vote in parliament after Democratic Left (DIMAR) leader Fotis Kouvelis' indication that he plans to withdraw his party from the ruling coalition.

Parliamentary groups of parties have been summoned for emergency meetings on Friday. A cabinet reshuffle is the most likely scenario in coming hours, according to sources.

Earlier on Thursday, Samaras held the third round of crunch talks in a week with Kouvelis and socialist PASOK party leader Evangelos Venizelos over the shutdown of the state television and radio broadcaster ERT, which widened rifts within the tri-partite administration.

The premier's decision to close ERT overnight as part of austerity and reform policies to overcome the three-year debt crisis sparked a wave of protests by trade unions, opposition parties and a culminating dispute within the coalition which brought to surface again the specter of snap elections and political uncertainty.

Thursday's meeting had been expected to defuse tensions among the partners, but the outcome was different.

"We didn't find common ground on ERT...The issue is not a formality, but a matter of democratic substance...It is not our responsibility that no common ground was found," Kouvelis said in statements to media from his party's headquarters after the meeting.

"For us the major issue is to restore democratic institutions and the operation of the state broadcaster...The issue of the government's status is on the table...We seek a review of our agreement of collaboration," socialist PASOK party leader Evangelos Venizelos told the Press.

He stressed that the country needs political stability and not elections, indicating that he intends to continue on the same path with New Democracy regardless of DIMAR's stance.

The two parties jointly hold a slim majority in the 300-member assembly. However the issue, according to local political analysts, is whether a two-partite coalition is viable.

A year after the last general elections which brought the current coalition in government, the country seems to sink into political uncertainty again.

The crisis started with Samaras' decision to pull the plug off ERT and replace it with a leaner entity operating on reduced staff by autumn. Over the past week, PASOK and Democratic Left had strongly opposed the move, insisting that ERT's signal be switched back immediately and all 2,700 employees continue working during the broadcaster's overhaul.

The two junior partners criticized Samaras of unilateralism in decision-making and, along with the other critics, had blasted his choice to shutdown the broadcaster through a ministerial decree which circumvents the parliament.

In a preliminary ruling on Monday, Greece's top administrative court, the Council of State, said that the government had the right to close ERT, but not to cut the signal off the air, therefore it should be restored immediately and the enforcement of the ministerial decree suspended.

At Thursday's meeting, Samaras confirmed that he discussed with his partners a plan which foresees the creation of a transitional service to operate as soon as possible, so that broadcasting will resume until a new organization replaces ERT.

Under the plan, 2,000 employees would be rehired on short-term contracts until the restructuring wraps up by September and the new broadcaster takes over with reduced personnel.

Venizelos seemed to accept the proposal, but Kouvelis stayed adamant on his initial position.

Following the developments, main opposition Radical Left SYRIZA party as well as other opposition parties, urged for early elections.

"It is time that society's call for the protection of democracy and an end to the memorandums becomes reality," a SYRIZA statement said on early Friday.

But the prospect of new elections is not welcome by many Greeks and foreign lenders.

All recent opinion surveys show that no party would secure parliamentary majority, as it happened during last year's double polls.

The country would most probably witness again marathon consultations to forge a new coalition at a time when international creditors add pressure to Athens to accelerate reforms to overcome the crisis.

At ERT's headquarters, employees who had continued broadcasting via the Internet along with daily protests, said that they intend to keep up "to the end the struggle to retain jobs and a decent living."

Three years of tough austerity measures introduced in exchange of multi-billion rescue loans by the International Monetary Fund and the European Union in order to stave off a chaotic default within the euro zone, have fuelled recession and protests.

However, Greece needs the flow of bailout aid to keep afloat and return to growth in 2014, as Greek and foreign officials forecast. Political instability in coming weeks could derail the entire program, sending Greece back to the brink of collapse, analysts warn.
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