Update June 22, 2011: Papandreou survives confidence vote and will stay in power. Greece will now most likely get a temporary respite from having to default on its sovereign debt in the form of a cash infusion from the EU and IMF."Greek Prime Minister George Papandreou is set to face a vote of confidence in parliament after forming a new cabinet -- the first step in averting the eurozone's first sovereign default.
If the government fails to secure Tuesday's vote, Greece will not receive a EUR 12 billion ($17bn) loan it needs to avoid bankruptcy, state-run BBC reported.
The aid is the latest tranche of the European Union and the International Monetary Fund's EUR 110 billion aid package approved for Greece in return for tight austerity measures.
At the weekend, eurozone ministers postponed their decision to grant the loan to Greece, pressuring the Greek parliament to pass a new austerity package worth EUR 28 billion.
Greece needs to impose further spending cuts and tax hikes by the end of June to receive the second batch of its bailout from the EU and IMF.
Papandreou asked Greeks on Sunday to support the austerity plan in order to avoid a "catastrophic default."
However, anti-austerity protesters plan to mass outside parliament ahead of the vote, scheduled for Tuesday midnight..."
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