Greece starts talks on unity government

Greek Prime Minister George Papandreou has opened talks with Greece's president on forming an emergency government to stave off bankruptcy in his debt-laden country after winning a nail-biting vote of confidence. A total of 153 deputies among 298 present approved the motion, with 145 voting against. 

Reuters/John Kolesidis

In a dramatic late-night parliament session that began Friday evening and went well into the early hours of Saturday morning, Papandreou also hinted he would step aside in the interest of national unity.

"I am not interested in a chair, the last thing I am interested in is whether I am re-elected," said Papandreou, who swept to a landslide national election victory in 2009.

But despite carrying the confidence vote, Papandreou still faces an implacable centre-right opposition leader, who called for snap elections, which the prime minister said would be a "catastrophe".

Antonis Samaras, the leader of the opposition New Democracy party, said in a statement on Saturday: "The mask has fallen. Papandreou has rejected our proposals and he must take responsibility for that.

Time is pressing for Greece's politicians to set aside their differences as the country is fast running out of cash.

Finance Minister Evangelos Venizelos announced recently that Greece "absolutely needed" by December 15 an eight-billion-euro slice of aid from a 2010 EU rescue package.

Venizelos, tipped in the media to become interim prime minister, said that elections could be held once negotiations on the EU bailout package are complete.

He said the new government would be in power "until the end of February" when details on the plan are expected to be completed "so they can be submitted to the electoral inspection of the Greek people."