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Presidents of the European Council and the European Commission welcomed the establishment of the new Greek government and the appointment of Lucas Papademos as Prime Minister.

As noted in a joint statement by Herman Van Rompuy and Jose Manuel Barroso, the agreement to form a national unity government opens a new chapter for Greece. They also stressed that for quite some time, the need for broad political agreement on measures that would lead the country out of the crisis had been underlined and, therefore, they welcomed the news.

They added that although it is a transitional government, the work it will have to do is very hard, because the second programme of support must be completed rapidly, as provided for in the decisions of October 27. Voluntary exchange of bonds held by private investors must take place in early 2012 under the programme.

It is important that the new Greek government sends a powerful message to ensure the European partners that it will perform the necessary actions, pointed out the two Presidents.

"Fiscal stabilization should advance together with the necessary structural changes to promote development and to create new jobs which the Greek nation needs now."

Rompuy and Barroso said, "We reiterate that our European institutions will continue to do everything within their power to help Greece. But Greece must also do everything within its power to help itself."

In conclusion, both point out that they expect to meet Mr. Lucas Papademos soon.

International media

Lucas Papademos as the choice for Prime Minister of Greece is welcomed with positive comments by international media, which characterize him as a technocrat, and perhaps the most appropriate for the difficult task he is undertaking.

"There is an irony in Lucas Papademos taking over as Greek prime minister to help his country survive in the euro zone: He was one of those who eased Greece into the single currency in the first place", says Reuters.

"As head of Greece’s central bank from 1994-2002, the cautious, quietly spoken technocrat fought rocketing inflation and sought to impose monetary discipline on a country that frankly has never had any," reads the article .

"There is little doubt that this background, along with a stint at the Federal Reserve Bank of Boston, qualifies him more than perhaps anyone else to understand both the economic and international implications of Greece's debt debacle."

"But the question is whether a somewhat introverted academic like Papademos can handle the rough and tumble of Greek politics, which includes violent street clashes and harsh personal enmities in parliament."

"Papademos is criticized in his own country as someone who finds decision-making hard -- which would not be a particularly good trait for one tasked with pulling chaotic Greece and worried Europe back from the brink."

"All of which means that while Papademos has garnered respect from peers and from the all-important financial markets, it is by no means certain that quiet thoughtfulness will do the job of leading Greece out of chaos. Then again, maybe Greece could use a little quiet thoughtfulness," concludes the article by Reuters.

"Lucas Papademos, Greece's technocrat new Prime Minister, is a former European Central Bank (ECB) vice-president who is seen as well placed to handle the debt crisis," read the BBC web site.

"Critics say as central bank governor he should have been in a position to know of inaccuracies in Greece's budget figures during the run-up to joining the euro, a charge he has denied.. As Prime Minister, he will have to convince the Greek public that further austerity measures are needed to eventually restore the economy to health while keeping the two major parties - socialist and conservative - from playing damaging short-term political games," reads also the BBC.

"Lucas Papademos, a respected economist with an avuncular style, was named Prime Minister of Greece on Thursday to lead a unity government," says the online edition of the New York Times.

"Some Pasok members had appeared to push publicly on Wednesday for Mr. Papademos, a respected economist and former vice president of the European Central Bank who was seen as being a dynamic and technically able choice. But his strength made him a potential rival for those who have aspirations in the next elections, analysts said. In addition, reports that Mr. Papademos had set several conditions for taking the job, including a six-month term and the ability to choose his own finance minister, had troubled some members of both parties. In fact, Mr. Papademos was acting to remove one of the most powerful members of Pasok, the current Finance Minister, Evangelos Venizelos, who was likely to run for prime minister in the next elections," emphasizes the New York Times.

"Lucas Papademos, a visiting professor at Harvard’s Kennedy school of government following his retirement from the ECB last year is seen as the most appropriate to implement the new €130 bail-out to the country," reads Financial Times.

But his candidacy was underestimated by Venizelos, an ambitious finance minister, who will be at the periphery, if Papademos takes the post, read the online edition of the newspaper before the appointment of Papademos was announced.

The business

In the same vein is the statement of Konstantinos Mihalos, president of the Athens Chamber of Commerce. He spoke of "the new great battle," which has begun to rescue the Greek economy after the agreement the parties have reached for the establishment of a new government led by Lucas Papademos.