Greek Parties Agree to Form Coalition Government

The talks still continue but good news is on the horizon as yet another political party, the Democratic Left, has backed out of the Unity coalition. Please consider Greece's moderate left says no government possible The moderate Democratic Left party in Greece says it will not join pro-bailout parties in a coalition without the more radical far-left Syriza.

Odds of a lasting coalition are slim given the massive vote against the austerity coalition. Fotis Kouvelis, SYRIZA party leader and second place finisher in the elections repeated his position that cooperation with New Democracy and PASOK was not in his intentions. Moreover, Greece's Democratic Left party refuses to join any pro-bailout coalition.

The very instant the Greek "Unity Government" formed it was divided. Antonis Samaras, the leader of Greece’s New Democracy Party, one of the three coalition parties that formed the government says he will not sign a document demanded by the IMF before it will release the next tranche. That's not all, Samaras actually wants to rework the agreement. Neither will fly (at least with Greece receiving the next tranche of money), and tensions fester.

Sticking with quotes from the Guardian Live Election Blog, New Democracy leader Antonis Samaras "Will Honour Commitments to the EU". Samaras summarised his speech in English: His party would honour commitments to the EU. It was a victory for all Europe. A call for all political parties that share objectives to form government. Sacrifices of Greek people will be reflected.

I am amused by the Financial Times headline Tsipras shrugs off gaffe about Hollande. When Evangelos Venizelos, the Greek socialist leader, boarded a 7.30am flight to Paris on Tuesday, only his closest aides knew he was on the way to a hastily arranged meeting with the French president.