ATHENS – A deputy from Greece’s ruling Pasok socialist party quit parliament yesterday to protest against austerity, striking a blow at prime minister George Papandreou’s efforts to secure approval of a deeply unpopular package of measures later this week.
Although the resignation does not change the government’s majority, it compounds Mr Papandreou’s woes. A 48-hour general strike has been timed to coincide with the vote, seen as essential to secure a loan instalment and avert bankruptcy.
“I can no longer continue to vote without knowing what I’m voting about ... to vote for unjust and unpopular measures under threat that the government will collapse,” Thomas Robopoulos said in his resignation letter to the prime minister.
Mr Papandreou had earlier appealed for unity, saying these were critical times ahead of an EU summit on Sunday, where European leaders are meeting to forge a comprehensive solution to the Greek debt crisis that is shaking the euro zone.
“This is maybe the most crucial week for Greece and Europe,” Mr Papandreou said in a meeting with president Karolos Papoulias.
“It is very important on our part, that the entire Greek political class shows a sense of unity and responsibility.”
Greece’s two main unions, representing about half the four million-strong workforce, are preparing for one of the biggest protests since the crisis began two years ago, likely to hit food and fuel supplies, disrupt transport and leave hospitals run by skeleton staff.
The strike is set for tomorrow and Thursday to coincide with the vote in parliament, expected to take place in two stages on both days.
Trailing badly in opinion polls, Mr Papandreou has defied a wave of protests, pledging to push through a deeply unpopular package that includes tax rises, pay and pension cuts, job layoffs and changes to collective pay deals.
His four-seat majority is expected to hold up with the support of smaller opposition parties but at least one more member of the ruling Pasok party may oppose part of the bill.
With European Union leaders racing to prepare a new bailout deal in time for next Sunday’s summit and growing speculation that Greece may be forced to default on its massive public debt, Mr Papandreou said Athens had to show its resolve.
“We must show we want the great changes, to go into this negotiation on October 23rd with our head high, with a strong negotiating hand, to make sure we obtain the best for Greece,” he said.
Trapped in deep recession and with debt equivalent to some 162 per cent of gross domestic product, Greece has been shut out of bond markets and would run out of money within weeks without international support.
Inspectors from the EU and the IMF were in Athens last week and have recommended releasing an €8 billion aid tranche to enable the government to keep paying its bills past November. That will only provide temporary relief and Greece has been told to push ahead with further belt-tightening, structural reforms and privatisations. – (Reuters)