Oct 4

Greece’s opposition Socialist party on Sunday defeated the incumbent center-right government of Prime Minister Kostas Karamanlis, as Socialist leader George Papandreou promised to chart a new course for an economic comeback.

Socialist George Papandreou is set to become Greece's next prime minister.

Socialist George Papandreou is set to become Greece’s next prime minister.

“On this course, nothing is going to be easy — it will take work, hard work,” Papandreou said in his victory address. “And I will always be honest with the Greek people so that we may better solve the problems of the state.”

Sunday’s national elections were held two years before originally scheduled. Karamanlis called the elections in response to pressure from Papandreou’s Panhellenic Socialist Movement of Greece, which threatened to block the election of a president in February if no general election was held. The Greek constitution requires the two major parties to agree on the election of a president, giving either party an effective veto.

Karamanlis’ term was not due to expire until September 2011. But Papandreou insisted on new elections before the end of President Karolos Papoulias’ term as president.

The country’s ailing economy was the focus in the run up to the elections, as both candidates offered conflicting prescriptions to revive it. While Karamanlis called for cuts in spending, Papandreou proposed a massive stimulus.

Karamanlis, of the New Democracy party, congratulated Papandreou in a nationally televised concession speech.

“And like every Greek, I hope that he succeeds at the big challenge of facing up to the economic situation,” Karamanlis said. “Because this challenge, I have said many times, is a national issue.”


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