Greek Prime Minister George Papandreou's victory in a confidence vote bolsters his new government's chances of pushing through austerity measures to secure further international financial aid for the country.
A total of 155 lawmakers supported the motion in the 300-seat parliament in Athens early this morning, with 143 voting against. Papandreou reshuffled his Cabinet and sought the approval of the chamber after fending off a revolt within his socialist Pasok party last week. After the vote, police used tear gas to disperse thousands of Greeks protesting budget cuts.
Papandreou now turns his attention to clinching parliamentary approval next week of a 78 billion-euro ($112 billion) package of budget cuts to stave off default. European finance ministers and the International Monetary Fund this week said they would hold back a 12 billion-euro payment due in July until passage of the plans to cut the deficit, sell state assets and impose a “crisis levy” on wages.
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