THE GREEK PRIME minister Lucas Papademos has put off crucial talks with opposition leaders on austerity reforms until tomorrow, despite growing indications that the country could be forced out of the euro.

Meanwhile, more than 20,000 protesters marched through central Athens as unions called a general strike against the new job cuts and tax hikes.

The strike halted trains and ferries, closed down schools and banks and put state hospitals on short staffing. Several hundred protesters clashed with riot police outside Parliament and set fire to a German flag.

EU Commissioner Neelie Kroes today signalled that a Greek departure from the euro would not be seen as a disaster, telling a Dutch newspaper that there would be “absolutely no man overboard,” the BBC reports.

European leaders have repeatedly warned that further instalments of Greece’s bailout, which the country needs to make repayments on its mountain of debt, are dependent on the country accepting tough austerity measures.

Papademos blamed the delayed talks on missing paperwork, Reuters reports. But an official told the news agency: “The reason is that the political leaders will not have the time to assess the measures in the bailout.”

The reforms include a 20 per cent minimum wage cut, pension reductions, and large numbers of layoffs in the civil service.

This video shows protesters attempting to burn a German flag during today’s demonstration:

(Video: worldwideriotnet)

- Additional reporting from AP

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