Europe is keeping a nervous eye on Greece, fearing that the political chaos there could lead to defaults on debt that could threaten the future of the euro. Greek failure -- or refusal -- to make debt payments could hurt banks across Europe. The talks with Papoulias came a week after elections in which angry voters punished mainstream parties by backing a range of fringe groups.
If no government can be cobbled together by May 17, new elections must be called. They would take place next month. Papoulias said he hoped he could help form a unity government, adding that "things in Greece are quite difficult" -- but things only looked more difficult after Sunday's talks.
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