Greece to press on with austerity measures

GREEK Prime Minister George Papandreou said he would press ahead with new austerity measures after failing to win backing from the main opposition parties as he races to keep bailout funds flowing and avoid default.

Antonis Samaras, leader of Greece’s biggest opposition party, New Democracy, rejected the plan at a meeting with Mr Papandreou and other opposition leaders in Athens, saying his party wouldn’t be blackmailed. Mr Papandreou said he will go ahead with the measures even while continuing to seek support and ruled out early elections.

“My determination is to continue with this programme in a very determined and decisive way,” Mr Papandreou said yesterday at a press conference in Athens. Greece has achieved “impressive” targets and there are signs of improvement in the economy, he said, adding that the country will “soon be out of the woods” by following through with plans for fiscal adjustment, state asset sales and development of government-owned real estate.