New government talks at a standstill

The negotiations between the government and the New Democracy party on forming the coalition government are at a standstill.

Reportedly, ND does not accept Lucas Papdemos as PM because of the demands he has put forward. The blue team does not accept a government under Mr. Papademos, who will choose his own economy team and will have half a term in order to resolve any outstanding issues relating to the loan agreement and related matters.

In the same context, ND negotiators reportedly have rejected the second proposal by George Papandreou as to the European Ombudsman Mr. Nikiforos Diamandouros. Mr. Stavros Dimas denies that he has accepted a proposal to participate in the government. However, it seems that the discussions have led to another person and optimism is expressed that by the evening, there may be a possible solution.

The ND leadership insists that the government should be “for a special purpose and specific duration”, and for that reason, the notion of not having political figures participating is set as a priority, hence the proposals for changes to the “polling” ministers of the Interior, Justice and Citizen Protection.

In terms of PASOK, there is no reaction because Mr. Papademos’ conditions are under informal discussion.