Lawmakers in Greece have failed to elect a new president - this was the third and final round of voting. The failure to pass the vote means that the country is now facing a snap general election. The election will take place in the coming weeks - most likely on Sunday 25th January
In a televised address Greek Prime Minister, Antonis Samaras has said that he is confident that his party will win the election, adding: "It's time for Greek people to do what parliament has not done, to end uncertainty and restore stability."
Left-wing party Syriza currently lead in opinion polls. Alexis Tsipras, the leader of the party addressed reporters after the vote, saying: "With the will of our people, in a few days bailouts tied to austerity will also be a thing of the past. The future has already begun."
The party wants to renegotiate the country's bailout agreement with the EU and IMF, and to abandon austerity policies. It has had a steady lead in opinion polls for some time - but that lead has been narrowing.
Yields on Greece’s 10-year bonds are up by 9 percent today - suggesting that investors believe that the country could default on its debt.
The Greek finance minister, Gikas Hardouvelis warned over the weekend that if Syriza came to power and refused to cooperate with the EU and IMF, the country could face economic sanctions from the ECB.
Speaking to the Greek newspaper To Vima he predicted that the ECB could cut funding and "strangle the Greek economy in a split second".
A major rift between the ECB and Athens could trigger a new currency crisis that could threaten the future of the monetary union.
Syriza's leader, Mr Tsipras has said that he wants the country to stay part of the euro.
Yesterday, he wrote in the party's newspaper: "Our historical responsibility is to pave the way for an alternative policy in Europe, turning a Eurozone country from a neo-liberal experiment to a model of social protection and growth."
German finance minister, Wolfgang Schaeuble has stated that a new Greek government would be obliged to fulfill the economic commitments made by previous governments, adding: "If Greece chooses another direction, it will result in a difficult situation."
