Greece will hold a snap general election late January  after MPs today failed to vote for a new president sparking fears of a new eurozone crisis. Greek prime minister Antonis Samaras had brought forward the presidential vote in a move he hoped would avoid a general election. But his gamble has backfired spectacularly with the government's candidate Stavros Dimas failing to win a majority after three rounds of voting. Greek Prime Minister Antonis Samaras called a presidential vote in a bid to avoid a general election but his candidate  failed to poll a majority meaning an election will be held early next year . Under Greek law, a parliamentary election must now be called, leaving financial markets and Greece's European Union partners facing weeks of uncertainty that could undermine fragile signs of economic recovery and derail its public finances. It opens the door for the radical left-wing Syriza party which is currently ahead in the opinion polls on promises to to tear up Greece's bailout agreement with the EU, abandon  austerity  and renationalise key parts of the economy. Investors sold off Greek stocks Monday, with the Athens stock exchange's benchmark general index losing 7.3 percent in midday trading, after falling as much as 11.3 per cent just after the vote. In two previous ballots,  Dimas, 73, a conservative former minister and European environmental commissioner, won 160 and 168 votes, respectively. He needed at least 180 votes to win today but again won only 168. Radical policies: Syriza party leader, Alexis Tsipras has pledged to re-nationalise parts of the economy . Mr Samaras announced the election will be held on January 25. He gave a televised address just after the presidential vote, saying: 'The country has no time to waste. 'I am here to guarantee that the country continues on a safe course ... so that the sacrifices made and the (economic) recovery are not endangered.' But Syriza leader Alexis Tsipras said the vote marked a 'historic day for Greek democracy'. 'When the majority of the people is determined to end the policies of the bailout agreements and austerity, then lawmakers can do nothing else than respond to their duty to keep in line with the will of the people. 'Today Mr Samaras's government, which for two and a half years plundered our society and had already decided and committed to take new measures, belongs to the past. With the will of our people, in a few days, the austerity agreements will also belong to the past.' 'They will be remembered by everyone, especially history.' Syriza, and its charismatic leader Alexis Tsipras triumphed at the European Parliament elections in May and are the current favourites to win a General election. Tsipras has promised to abandon the tough austerity measures that Greece has endured for the past two years, and renationlise parts of the economy, restoring wages and re-employing sacked public sector workers. A poll on Saturday by the Alco institute showed Syriza leading the government's New Democracy party by 3.3 points, a slightly narrower lead than in the previous poll. It put support for Syriza at 28.3 percent and for New Democracy at 25 percent. Greece has been making a slow and painful recovery thanks to record tourist receipts and the deficit has come down faster than in many other crisis hit countries from 15 per cent in 2009 to an expected three per cent in 2014. But a Syriza election win would likely mean Greece returning to policies of  unsustainable borrowing and could have a disastrous knock-on effect for the eurozone. Mr Tsipras said he had growing support in other countries struggling in the crisis. 'In Europe, sentiment is changing. Everyone is getting used to the idea that Syriza will be the government and that new negotiations will begin,' he wrote in his party newspaper on Sunday. The real prospect of a radical socialist party coming to power in Greece is terrifying many within the EU and has a damaging effect on markets. Greek stocks plunged at the opening on Monday ahead of a final parliamentary vote to choose a new president and avert a snap election that could bring a radical leftwing party to power. The Athens bourse sank 5.24 percent to 808.46 points shortly before the 1000 GMT vote. Ugly scenes: Petrol bombs are hurled at police during an anti-austerity protest  in central Athens in 2012 . In 2012 Greece was awarded €240million in bailouts on the condition in return for accepting tough austerity measures which saw thousands of government workers made redundant and the minimum wage slashed by 22 per cent. The move provoked widespread dissent with days of rioting which saw protesters clashing with police and hundreds of buildings being burnt down. Spyros Lykoudis, an independent who voted with the government in the second round before Christmas, said he was not optimistic that the parties would overcome their differences. 'Unless there is a surprise, unless a party changes its stance, I don't expect parliament to elect a president tomorrow given the current circumstances. 'Nothing can be ruled out, but parties are in any case preparing for elections.' Samaras, who spent much of Sunday following the dramatic rescue of hundreds of passengers from a burning ferry, has appealed to parliament to support his nominee. But having offered a deal to bring forward elections scheduled for mid 2016 to the end of next year, he ruled out new concessions to the opposition parties and independents expected to hold the key to the result.
Election to be held on January 25 with radical socialists ahead in the polls .
Greek stocks plunge by 11.3% immediately after vote but recover to 7.3% .
Greek PM had called presidential vote in bid to stave off general election .
But gamble  backfired after his candidate failed to win today .
Socialists pledged to abandon austerity and renationalise  the economy .
Athens given bailouts worth 240 billion euros in 2012 .
Greece will hold a snap general election late January  after MPs today failed to vote for a new president sparking fears of a new eurozone crisis. Greek prime minister Antonis Samaras had brought forward the presidential vote in a move he hoped would avoid a general election. But his gamble has backfired spectacularly with the government's candidate Stavros Dimas failing to win a majority after three rounds of voting. Greek Prime Minister Antonis Samaras called a presidential vote in a bid to avoid a general election but his candidate  failed to poll a majority meaning an election will be held early next year . Under Greek law, a parliamentary election must now be called, leaving financial markets and Greece's European Union partners facing weeks of uncertainty that could undermine fragile signs of economic recovery and derail its public finances. It opens the door for the radical left-wing Syriza party which is currently ahead in the opinion polls on promises to to tear up Greece's bailout agreement with the EU, abandon  austerity  and renationalise key parts of the economy. Investors sold off Greek stocks Monday, with the Athens stock exchange's benchmark general index losing 7.3 percent in midday trading, after falling as much as 11.3 per cent just after the vote. In two previous ballots,  Dimas, 73, a conservative former minister and European environmental commissioner, won 160 and 168 votes, respectively. He needed at least 180 votes to win today but again won only 168. Radical policies: Syriza party leader, Alexis Tsipras has pledged to re-nationalise parts of the economy . Mr Samaras announced the election will be held on January 25. He gave a televised address just after the presidential vote, saying: 'The country has no time to waste. 'I am here to guarantee that the country continues on a safe course ... so that the sacrifices made and the (economic) recovery are not endangered.' But Syriza leader Alexis Tsipras said the vote marked a 'historic day for Greek democracy'. 'When the majority of the people is determined to end the policies of the bailout agreements and austerity, then lawmakers can do nothing else than respond to their duty to keep in line with the will of the people. 'Today Mr Samaras's government, which for two and a half years plundered our society and had already decided and committed to take new measures, belongs to the past. With the will of our people, in a few days, the austerity agreements will also belong to the past.' 'They will be remembered by everyone, especially history.' Syriza, and its charismatic leader Alexis Tsipras triumphed at the European Parliament elections in May and are the current favourites to win a General election. Tsipras has promised to abandon the tough austerity measures that Greece has endured for the past two years, and renationlise parts of the economy, restoring wages and re-employing sacked public sector workers. A poll on Saturday by the Alco institute showed Syriza leading the government's New Democracy party by 3.3 points, a slightly narrower lead than in the previous poll. It put support for Syriza at 28.3 percent and for New Democracy at 25 percent. Greece has been making a slow and painful recovery thanks to record tourist receipts and the deficit has come down faster than in many other crisis hit countries from 15 per cent in 2009 to an expected three per cent in 2014. But a Syriza election win would likely mean Greece returning to policies of unsustainable borrowing and could have a disastrous knock-on effect for the eurozone. Mr Tsipras said he had growing support in other countries struggling in the crisis. 'In Europe, sentiment is changing. Everyone is getting used to the idea that Syriza will be the government and that new negotiations will begin,' he wrote in his party newspaper on Sunday. The real prospect of a radical socialist party coming to power in Greece is terrifying many within the EU and has a damaging effect on markets. Greek stocks plunged at the opening on Monday ahead of a final parliamentary vote to choose a new president and avert a snap election that could bring a radical leftwing party to power. The Athens bourse sank 5.24 percent to 808.46 points shortly before the 1000 GMT vote. Ugly scenes: Petrol bombs are hurled at police during an anti-austerity protest  in central Athens in 2012 . In 2012 Greece was awarded €240million in bailouts on the condition in return for accepting tough austerity measures which saw thousands of government workers made redundant and the minimum wage slashed by 22 per cent. The move provoked widespread dissent with days of rioting which saw protesters clashing with police and hundreds of buildings being burnt down. Spyros Lykoudis, an independent who voted with the government in the second round before Christmas, said he was not optimistic that the parties would overcome their differences. 'Unless there is a surprise, unless a party changes its stance, I don't expect parliament to elect a president tomorrow given the current circumstances. 'Nothing can be ruled out, but parties are in any case preparing for elections.' Samaras, who spent much of Sunday following the dramatic rescue of hundreds of passengers from a burning ferry, has appealed to parliament to support his nominee. But having offered a deal to bring forward elections scheduled for mid 2016 to the end of next year, he ruled out new concessions to the opposition parties and independents expected to hold the key to the result.
he hoped would avoid a general election. But his gamble has backfired spectacularly with the presidential vote in a bid to avoid a general election but his candidate  failed to poll a ahead in the opinion polls on promises to to tear abandon  austerity  and renationalise key parts of the economy. Investors sold off Greek stocks least 180 votes to win today but again won only Alexis Tsipras has pledged to re-nationalise election will be held on January 25. He gave a anti-austerity protest  in central Athens in 2012