Greece set for new elections as stalemate continues

A left-wing party opposed to the terms of Greece's bailout agreements is trying to form a government after a general election stalemate.

The Radical Left Coalition, led by Alexis Tsipras, is to formally receive a mandate to form a government, and get three days to try and hammer out a power-sharing deal.

The party came a surprise second place in Sunday's election, after campaigning hard on a pledge to scrap bailout agreements that have kept the country afloat but also brought in harsh austerity measures. Greece is in its fifth year of recession and unemployment has spiked to over 20%.

Election winner, the conservative New Democracy, had first stab at forming a government on Monday but failed to find enough support from other parties.

Failure to reach a deal this week would trigger another general election in June, raising fears that Greece's painful deficit-cutting program - along with Europe's troubled efforts to resolve its debt crisis - could be thrown off track.

AP