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Greeks to hold referendum over bailout

Greek Prime Minister George Papandreou
Greek Prime Minister George Papandreou

The Greek government is to hold a referendum on the new EU aid package to see if voters want to adopt it or not.

In a recent survey it suggests that nearly 60% of Greek voters view the EU summit agreement on the €130bn package as a negative, or probably negative.

Prime Minister George Papandreou has said that "We trust citizens, we believe in their judgement, we believe in their decision."

He continued, "Do they want to adopt the new deal, or reject it? If the Greek people do not want it, it will not be adopted."

Papandreou, who has 153 deputies in the 300-seat parliament, has faced increasing dissent within his own party over the hardening austerity policy monitored by the EU and the International Monetary Fund that has sparked general strikes and widespread protests, many of them violent.

Public anger showed itself again around the country on Friday as parades were held to mark Greece's wartime resistance to Nazi Germany and Fascist Italy.

President Carolos Papoulias walked out on a military parade in the northern city of Thessaloniki when hecklers in the crowd labelled him a "traitor" and other officials in other cities were also insulted.