Greek election winner Syriza has gained key support from an anti-austerity party to form a new government.

Greece will hold early national elections on January 25 after parliament failed to elect a new president in a third and final round of voting, prime minister Antonis Samaras has announced.

Fears over a political crisis in bailed-out Greece together with gloom over the outlook for the US deepened anxiety over the world economy as stock markets tumbled today.

Police have arrested one of Greece’s most wanted men – a fugitive convicted of terrorism – during a shootout in Athens’ central tourist district that left four people wounded.

Greece’s fragile coalition government was left reeling today after a junior party decided to pull its two cabinet ministers from the cabinet following a dispute over state broadcaster ERT.

Greece will hold a new general election in June after days of talks failed to resolve the country’s political deadlock.

Greece will face another general election, socialist leader Evangelos Venizelos said after talks to agree a new government produced no deal.

Greek power-sharing talks entered a third and final round today, as parties in the crisis-hit country struggled to hammer out a coalition deal after general elections produced no outright winner.

Greece’s future in the euro grew increasingly precarious as violence erupted on the streets of Athens during a general strike and five politicians resigned from the government after European leaders demanded deeper spending cuts.

SENIOR banker Lucas Papademos has been named prime minister of the new Greek interim government, charged with keeping the debt-ridden country out of bankruptcy and in the eurozone.

Senior banker Lucas Papademos was today appointed prime minister of an interim Greek unity government that seeks to cement a European debt deal and stave off national bankruptcy.

THE ISEQ index of Irish shares fell over 4% yesterday, a pattern consistent across all major international stock exchanges in light of Greece’s decision to hold a referendum on its latest bailout offer.

Markets have plunged on fears that Europe’s plan to save the euro was already unravelling after the shock Greek decision to call a referendum on the country’s latest rescue.

EUROPE and its troubled currency appears to be finally reaping the rewards of a litany of summits this year designed to draw a line under the region’s debt crisis.

Greece's prime minister voiced deep relief today at the new debt relief and bailout deal hammered out by European leaders, which he said has bought the country time to make a new start and will spare future generations of Greeks from a crippling burden.

European stock markets shot higher today as investors waded into riskier assets, emboldened by EU leaders’ pre-dawn agreement to slash Greece’s massive debts.

Greece’s second and third largest lenders, Eurobank and Alpha Bank, have announced plans to merge to better withstand the country’s acute financial crisis.

EU and German officials assured markets they were working quickly to approve a bail-out for Greece as they tried to keep the country's debt crisis from dragging others into a continent-wide financial meltdown.

Rubbish collectors returned to work today, removing mounds of waste which had piled up on city streets during their two-week strike, a day after Greece’s parliament approved unpopular pension reforms despite widespread protests.

Coca-Cola Hellenic Bottling Company S.A. confirmed today its intention to apply for a listing of its shares on the New York Stock Exchange, as previously announced on May 20.