Greece's Socialist new prime minister faces pressing challenges

George Papandreou, leader of the Panhellenic Socialist Movement (PASOK), was officially nominated Monday as the new prime minister by President of the Hellenic Republic Karolos Papoulias, after Sunday's landslide victory in the Greek general elections.

Papandreou, who is son and grandson of two prime ministers, promised that he would form an effective government and work hard to tackle Greece's problems when he was swept into office on Sunday for the first time.

Especially in the economic field, the challenges were so pressing that there would be no honeymoon for the 57-year-old former foreign minister, political analysts pointed out.

There were difficult tasks ahead, said Alexis Papahelas, chief editor of Kathimerini daily, adding that in two weeks the new government would have to convince the other members of the European Union to grant Greece more time to reduce its 6 percent of the GDP deficit to half.

Greek socialists won 43.9 percent of the national votes, and PASOK got 160 seats in the 300-member parliament, ending five and half years of the conservative rule, according to final official results.

With a solid parliamentary majority in his hands, Papandreou isbeing asked to fulfil his pledges soon.

He has promised speedy reforms in favor of the poor, an end to nepotism and tax evasion, a restart of the stagnant economy and a declaration of war on corruption.

The nation's economy that has deteriorated due to the global financial crisis and the corruption scandals that plagued the outgoing government led by Costas Karamanlis are seen as the main factors behind PASOK's triumph and the New Democracy's crushing defeat.

Karamanlis, another scion of a political dynasty, who became the youngest Greek prime minister in 2004, lost the risky bet he placed a month ago when he decided to call early elections, askingfor a new mandate to face the economic crisis.

Sunday night, as the New Democracy received a historic low of 33.4 percent of votes, which amounted to 91 seats in parliament, Karamanlis announced that he would step down from the party's leadership in November.

Source: Xinhua