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Pascal Rossignol / Reuters
New Democracy supporters hold flares as they celebrate in front of the Parliament in central Athens on Sunday.
Updated at 4:49 p.m. ET: ATHENS - The pro-bailout New Democracy party came in first Sunday in Greece's national election, and its leader proposed forming a pro-euro coalition government. The result eased fears of an imminent Greek exit from Europe's joint currency.
"The Greek people voted today to stay on the European course and remain in the euro zone... there will be no more adventures, Greece's place in Europe will not be put in doubt," New Democracy leader Antonis Samaras said.
He said voters chose "policies that will bring jobs, growth, justice and security."
French socialists win absolute parliament majority
His party beat the anti-bailout Syriza party, which wanted to cancel Greece's international bailouts.
Yannis Behrakis / REUTERS
A Greek orthodox priest holds his ballot paper as he exits a voting booth at an Athens primary school used as a polling station on Sunday.
Syriza chief Alexis Tsipras conceded the election but vowed to continue its fight against the punishing terms of an EU/IMF bailout saving the country from bankruptcy.
"From Monday, we will continue the fight," Tsipras told supporters. "A new day for Greece has already dawned.
With 82.5 percent of the vote counted, official results showed the conservative New Democracy winning 30 percent and 130 of the 300 seats in Parliament. The radical anti-bailout Syriza party had 26.6 percent and 71 seats and the pro-bailout Socialist PASOK party came in third with 12.5 percent of the vote and 33 seats.
The anti-immigrant nationalist Golden Dawn party had 6.9 percent and 18 seats, while the Democratic left won 6.1 percent and 18 seats.
Because of a 50-seat bonus given to the party which comes first, that result would give New Democracy and PASOK 161 seats in the 300-seat parliament, in an alliance committed to a 130 billion euro ($164 billion) EU/IMF bailout keeping the country from bankruptcy.
Greek vote only buys some time in widening euro crisis
Sunday's vote was seen as crucial for Europe and the world, since it could determine whether Greece was forced to leave the joint euro currency, a move that could have potentially catastrophic consequences for other ailing European nations and the global economy. As central banks stood ready to intervene in case of financial turmoil, Greece held its second national election in six weeks after an inconclusive ballot on May 6.
The Eurozone's finance ministers said the outcome should allow for the formation of a government that will carry the support of the electorate to bring Greece back on a path of sustainable growth.
"The Eurogroup acknowledges the considerable efforts already made by the Greek citizens and is convinced that continued fiscal and structural reforms are Greece's best guarantee to overcome the current economic and social challenges and for a more prosperous future of Greece in the euro area," the group said in a statement.
"We congratulate the Greek people on conducting their election in this difficult time," the White House said in a statement. "We hope this election will lead quickly to the formation of a new government that can make timely progress on the economic challenges facing the Greek people."
Greece has been dependent on rescue loans since May 2010, after sky-high borrowing rates left it locked out of the international markets following years of profligate spending and falsifying financial data. The spending cuts made in return have left the country mired in a fifth year of recession, with unemployment spiraling to above 22 percent and tens of thousands of businesses shutting down.
Europe may be able to muddle through but the risk is rising. "There could be a Lehman's moment if things are not properly handled," Robert Zoellick, the outgoing head of the World Bank, told Britain's Observer newspaper.
The bankruptcy of U.S. bank Lehman Brothers in September 2008 triggered a global financial slump that indebted western nations are still struggling to recover from.
'Most important election in history'
The ongoing uncertainty was a prime concern for Greek psychologist Sofia Arvanici, who spoke to NBC News at a polling station in a northern suburb of Athens.
"This is Greece's most important election in history," the 36-year-old said. "We don't know whether we will have a government tomorrow, but we can't have more instability."
Bartering takes hold in austerity-wracked Greece
The European Union and International Monetary Fund have insisted that the conditions of the 130 billion euro bailout accord agreed in March must be accepted fully by a new government or funds will be cut off, driving Greece into bankruptcy.
Opinion polls show Greeks, weary after five years of deep recession, overwhelmingly favor remaining in the euro. But there is bitter anger over the repeated rounds of tax hikes, slashed spending and sharp cuts in wages.
"I voted with a heavy heart for a pro-bailout party because I want the country to stay in the euro, with the help of our European partners. I don't think the failed recipes of the left would get us out of this mess," Stratos Economou, 49, who runs a bakery shop in Athens, told Reuters.
Germans on edge as key Greek vote nears
Zoellick and other policy makers insist that the austerity Greece is living with is preferable to the alternative.
The Observer said the Zoellick would tell a G-20 summit that the euro crisis could hit developing nations hard, although clearly the effects would be felt further afield.
"Uncertainty in markets is now starting to increase costs for developing countries," he told the newspaper. "The ripple effects are making everybody's life harder."
Watch World News videos on msnbc.com
The G-20, which brings together finance ministers and central bank governors from 19 major economies and the European Union, will start a meeting in Mexico on Monday. The gathering in the Pacific resort of Los Cabos promised to be overshadowed by the elections in Greece and mounting worries about Spain and Italy.
During Sunday's election, voters will choose a new prime minister, but the election is also considered a proxy for a much bigger question: will Greece still use the Euro or not? CNBC's Michelle Caruso-Cabrera reports.
The fate of the euro as well as the European Union itself was top of mind for finance director Kostas Theoharis, 40, as he cast his vote near Athens.
"The main scenario is whether the euro will exist. This is the question that needs answered rather than whether Greece will be part of the euro," he told NBC News at an Athens polling station with his son Alex, 6. "I fail to see how Greece could leave the euro without breaking up Europe. I understand that this is a financial problem but it needs a political solution."
NBC News' Yuka Tachibana, msnbc.com's F. Brinley Bruton and Reuters contributed to this report.
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This election makes no difference in the eventual outcome of Europe. Total capitulation is the final solution.
You know what folks, I dont give two dmans if it is Greece, SPain, Ireland, Portugal, Italy, if these countries spent all this damn money like they were millionaires when they were poor dead beatrs, then they are getting now what the hell they deserve, itsa not the damn banks, it was some of the political decision makers and the people of these countries who all went in for this ride and finally got screwed by screwing themselves. If you think Capitalism is a bad thing then say goodbye tio all of your countries because thats what works not Socialism or communism, okay, they fail fail fail. which is why Bama is about to be voted and fire out of the Whitrem House too because our people care enough that we want to save our country from this dumn Jigaboo Kenyan African who isnt even a true American born Citizen okay. Its not the ECB or EU who have failed but these various countries governments with their @!$%#ty politicians who were artifically lending money to people and being dishonest with them about the whole process. The Euro will be fine as will the ECB and EU, Its these damn countries that will fail and need to be booted from the EU and Eurozone and go the hell back to their own currency again.
Good Riddens.
God Bless America and the world
the euro will be fine if countries are booted from the eu?
uhh ... ok
eric -- here's some sobering news. if just one of those countries goes back to its previous currency, then not only will the euro and ecb both NOT be fine, but will actually fail. also, economies worldwide (including "God Bless America") will experience major financial downturns for a long, long time.
wait I don't understand. PRO bailout means the support of bailouts. That doesn't sound like democracy to me. Greece wants an EXIT. I'm saying this right now. It's time to put an end to this. My name is Cory Lewis and I do not support the NWO. We are the ants and they are the grasshoppers. Pixar wrote about this. It's time to shut down the world and take it back with peace and life. I'm a Father and spending the day with my daughter was priceless but I'm ready to make SACRIFICES.
like a dog returning to its vomit. socialism failed in Greece and every where else it has been tried. the world is going down an unsustainable path and the US is right there with them. you think it is bad now for the common man, you ain't seen nothing yet!!!!
OK... I agree with Eric. The US and surviving Europe countries need to turtle up and take care of ourselves, weather this thing as best we can. Continuous bailouts and so forth are not the answer. We need to go back to the old system and the old way of doing things. For example...
History has taught us that some countries and types of Gov are reckless and dangerous. They need to be kicked out of the EU and everything else. Let them figure themselves out instead of being a constant drain on well... the Wordl! Let the countries and people who know what they're doing stay in power and stay as leader. Cut the fat. Obama needs to go too. He never should have been President, he's not and never will be Presidential material. And he's one of the biggest failures in American history.
Please provide an example of an "old system" and the "old way of doing things".
Thanks
darkone
so ...
according your ideology, the reckless and dangerous countries (and gov't) that need to be kicked out of the eu are: ireland, greece, spain, italy, belgium, and portugal. yes -- all of these have their bank systems drowning in bad debt and all of them have real debt/gdp ratios over 100%.
some of these countries are quite large ... that's an awful lot of fat that you want to cut
Years of buying votes. The politicians just forgot to tell the voters that the bill gets mailed them. Surely the word FREE was never used, right
Haut Hellenes, morgen sie Espana!
Good luck with more loans.When your broke, your broke. Im waiting for Germany to either bail or ask countrys to sign over the land.
Mabe China well ask for something of worth from the usa since our money is worthless. Everyone is in denial.
and there, ladies and gentlemen, is your english lesson for today!
I work for a living, own my own business, and spent exactly eight week on unemployment sixteen years ago.
Now...understand this, the Central Banks, which are part of the 0.001%, OWN me, you, and every single person we know. When will we get this through our collective heads and start lowering our sights on our mutual enemy instead of in-fighting!?
MSNBC vs. Fox News are like McDonalds vs. Burger King: both serve toxic goods that are sold to us in bright shiny wrappers.
We all like to believe that we "think for ourselves", but we don't. We think how we are trained to think, and are influenced by advertising, blonde-haired anchor women, shiny things.
Turn off the static, pick up a peer-reviewed book on subjects like Economic Policy (for example), instead of "learning" about these things by the mainstream media.
There are reasons that corporations ensure that they own our media and the stories that are reported on.
A divided population is the most easily conquered. Those who hit us on 9-11 knew this, and those who control the news cycle and keep us divided and in-fighting know this.
I loved reading this. I would stand beside you to preach these thoughts.
Yep.
A few supporting points:
- Five media companies control our media.
- Two political parties control our government, laws and trillions in annual spending
- One bank (federal reserve) controls the relative value of our money, money supply, interest rates and economic rates
- One street (wall street) runs entirely off of mortgages (not stocks, mortgages) and a mortgage is nothing more than who owns the place where you live. You don't own it, even if you don't have a mortgage.
whoknow,
Another question should be who, what "people/religion" is behind EVERYTHING you have stated, The Fed, Media, Wallstreet, etc.?
Here's a hint, The same people who did The Lavon Affair, The DELIBERATE Attack on the USS Liberty, 9/11, etc.!
Another hint, You pay them an ILLEGAL "Kosher Tax" for most of the items you buy/use every day such as Aluminum Foil, Salsa, Tide Detergent, Dish Detergent, etc.! These are kosher items? NOT!
Please, see for yourself, I am correct!
whoknow
Here's yet another hint,
Bernie Maddoff, Timothy Geithner, Alan Greenspan, Ben Bernake, Dov Zakhiem, Micheal Chertoff, Bill Kristol, Paul Wolfowitz, Lehman Brothers, Goldman Sachs, Bear Sterns, Kroll Security, ICTS Security, Rupert Murdock, Steven Speilberg, etc., etc., etc., etc., etc.!
Can you say "Fifth Columnists"?
As for the ILLEGAL "Kosher Tax" I mentioned above, look for a circled K, etc. on the products container!
I seriously doubt the people of Greece decided to give up their land in exchange for the bankers to be bailed out.
This fake banking system is starting to come to light.
Mary Jane Hanula and Melinda Sclazo of Pittsburgh are both fat PIIGS
How so?
You meant Melinda Scalzo of Jeannette
Was that euro or gyro?
Man, we have SO MANY IGNORANT people here!
The "PROBLEM" is the same as what we have here in the US, Central Banks/Federal Reserve run by Private Bankers; ie The Rothschilds (Redshields), etc. and their CRIMINAL "usury" system!
Hell even Jesus condemned this "system" of banking!
Why the hell should we allow "Private Bankers" to print our money out of thin air, and charge us interest to use it? It's OUR money, NOT theirs!
The system is set up to make civilization a slave to debt, and "Bankers" PLAIN, and SIMPLE!
WAKE THE F UP PEOPLE! How many of our Presidents have been MURDERED for trying to change this crimianl banking system? Look for yourself, PLEASE! See how the 1913 Federal Reserve Act was ILLEGALLY voted in while MOST of Congress was on Christmas Vacation, and that it has NEVER been ratified by enough states!
First of all see, "The Money Changer" Doc. on yt, and learn something! Then find out how the Rothschild CRIMINALS "Made" their money, and gained control of most all of the banks in the western world!
Also read The Creature from Jekell Island
How many of your know that there IS NO law stating we have to pay an "Income Tax", and that is actually against the US Constitution to wage a DIRECT TAX on our labor? Ask your rep. or the IRS to show you the actual law stating we have to pay an "Income Tax"! Go ahead and do it because THEY CAN'T!
See Aaron Russo's Doc. film, "America, Freedom To Facism"!
When you all learn what is really going on then MAYBE we can actually take back our country again!
euro is in trouble and this will only slow the end. Look for lots of stock movement were I don't have a clue. Greek policy no growth a massive black hole ready to destroy more if the don't cut this puppy(GREECE) lose. 165 billion euro's flushed? GW duba running Greece now
I clicked this story on the front page of MSN because there was a blonde in the picture. Now I get here and it's a sausage fest. No pics of blond girls anywhere.
These entries look like they were done by a room full of people paid to support the FOX and Rush Limbaugh agenda
Yeah, people that actually work for a living. Go figure.
Enjoy the momentary reprieve America. You expect different result by doing the same thing again and again and again. Problem will not be solve no matter how much money is thrown at it. You cannot make the rest of the world suffer to allow yourself the same extravagance. The chickens will come home to roost eventually.
Punishing terms? Greece is not being punished, how intellectually bankrupt.
the problem with liberal dementia is liberals are incapable of rational thought, much less an intellectually honest debate. if only the former USSR could have borrowed, borrowed, borrowed why golly, communism works! if only Greece can borrow, borrow, borrow without having to change a damn thing that ran them into bankruptcy, golly, liberal socialism works too!
The definition of insanity is doing the same thing over and over again and expecting a different result...just like Americans alternating between the two wings of the Plutocratic Party..the Democrats and Republicans and expecting things to get better..they NEVER do...so to with the Greek people...the establishment parties can do nothing but insure more years of economic misery...Greece should embrace New Dawn..and form an Anti-Turkish alliance with the Kurds and others to recover Ionia, Eastern Thrace and Northern Cyprus!! The time has come for Europe to break with the suicidal policies of the Anglo-Saxons.. stop using NATO to create more Muslim mini-states and reclaim European territories such as Moldavia for Romania,Spanish Morocco for Spain and all the Greek lands ethnically cleansed by Turkish fascists!!!
The Greeks voted for the Pro-bailout Party!
Well stupid is as stupid does…
Gee, why am I not in the least surprised by the outcome? Too predictable, no one has the guts to step out of line, take matters into their own hands...and even if they wish to, their voice will not be heard. The will of big money and bigger government trumps all else. The world has sold its soul to the devil. God help us all...
Big Bankers bought the election. Now, the Greeks will start mortgaging their children.
Hehe....this has got to be like "Yeah! The drunk broke guy is stayin' for the after hours party! Awesome!"
yes, the greek can celebrate while bleeding still exist. no way this country will survive while government handout continue. just a band-aid patch-up for short season while accummative bad loan and higher interest will kick in. there is no fix whatsoever without reducting 22% unemployed and infrastructure is not benefit from this bailout. i would give the greek another three months or less to survive, and then final nail to the coffin. take a lesson from US past stimulus. no positive change only worsen. no government can produce profit, only private sector produces positive tax cash flow, while social welfare continue draining valuable private assets. how can private business survive when being taxed $5.00 to every $1.00 profit? That's negative cash flow into the state treasure. That's exactly what US is doing to the private business sector, raising more taxes and suppress employment growth. government needs to stay out of private business and less regulation, period!!!!!!
Strangely, the only European country to have growth as well as an upgraded credit rating is Iceland. They rejected bank bailouts and austerity. As an aside, they are the only country in the world that has imprisoned lawbreaking bankers. Is this a coincidence???