Greek PM scraps referendum plan / Papandreou’s future hangs in the balance / Euro exit would give EU legal and financial headache

Greece’s Prime Minister George Papandreou abandoned his recent plan to hold a referendum on eurozone membership on the 3 November 2011 and instead set his sights on winning a parliamentary confidence vote, a dramatic about-face welcomed by European leaders and financial markets.

Capping a day of extreme political turbulence in Athens, George Papandreou told his socialist colleagues on the 3 November 2011 that there was no need for a referendum after the conservative opposition promised to support the terms of a €130bn bail-out from the European Union, European Central Bank and International Monetary Fund.

George Papandreou’s own political future was said to be hanging in the balance.

Also reports of discussions at the G20 Summit in Cannes on the eurozone sovereign debt crisis and the situation in Greece.

The Economist, 8758, 5.11.11: Charlemagne. A Greek bearing gifts http://www.economist.com/node/21536665

European Commission: RAPID: SPEECH/11/722: José Manuel Durão Barroso President of the European Commission Introductory remarks by President Barroso following the G20 Summit Joint EU Press Conference Cannes, 4 November 2011 http://europa.eu/rapid/pressReleasesAction.do?reference=SPEECH/11/722&format=HTML&aged=0&language=EN&guiLanguage=en

European Commission: RAPID: MEMO/11/760: Interview of President Barroso with BBC Today programme http://europa.eu/rapid/pressReleasesAction.do?reference=MEMO/11/760&format=PDF&aged=0&language=EN&guiLanguage=en

ESO: Background information: Greece to vote on euro membership / EU suspends €8bn in Greek aid http://www.europeansources.info/record/greece-to-vote-on-euro-membership-eu-suspends-e8bn-in-greek-aid/

EurActiv, 3.11.11: Papandreou hard-pressed over euro referendum http://www.euractiv.com/euro-finance/papandreou-hard-pressed-euro-ref-news-508709

EUObserver, 3.11.11: EU tells Greece: Choose the euro or go http://euobserver.com/19/114155

BBC News, 4.11.11: Greece PM Papandreou faces fresh call to resign http://www.bbc.co.uk/news/world-europe-15586673

Deutsche Welle, 4.11.11: Greek premier struggles for political survival after referendum rethink http://www.dw-world.de/dw/article/0,,15509909,00.html

France24, 4.11.11: Greek PM faces confidence vote after referendum fiasco http://www.france24.com/en/20111104-greek-prime-minister-parliament-confidence-vote-referendum-fiasco-papandreou-euro

EurActiv, 3.11.11: Cornered Papandreou ditches referendum plan http://www.euractiv.com/euro-finance/cornered-papandreou-ditches-refe-news-508734

EUObserver, 3.11.11: Papandreou ready to step down, ECB man likely to replace him http://euobserver.com/19/114164

Kathimerini, 4.11.11: On tense day of political chaos, PM backs down http://www.ekathimerini.com/4dcgi/_w_articles_wsite1_15376_04/11/2011_413186

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