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Greek PM claims election victory

Mr Karamanlis is claiming victory - but the margin is still unclear

The governing conservative party of PM Costas Karamanlis has claimed victory in Greece's general election, with opposition socialists conceding defeat.

With most votes counted, George Papandreou's socialist Pasok party trailed Mr Karamanlis's New Democracy party by about four percentage points.

Figures indicated that New Democracy would win most seats in parliament, but would hold a smaller majority.

The vote was overshadowed by forest fires that killed dozens in August.

Voter turnout was described as normal but reluctant in the Peloponnese peninsula south of Athens, heavily hit by the fires.

'Clear mandate'

With more than three-quarters of the ballot counted, New Democracy had a 43% share of the vote compared with 38.5% for Pasok.

This would correspond to 154 seats in the country's 300-member parliament - 11 fewer than they held after the last election, but enough for an absolute majority.

ELECTION FACTS Voting is compulsory A total of 21 parties are involved in 56 constituencies A total of 300 deputies are elected for four year Forty seats awarded to party with largest number of votes to make majorities more secure Other 260 seats divided on percentage of vote Voters' voices

Mr Karamanlis told his supporters that the party had been given a "clear mandate" to continue reforms.

"I feel doubly responsible to be more effective and avoid mistakes," he said.

Minutes earlier, Mr Papandreou had made a speech thanking his supporters for showing their "love and trust" in him, adding: "Pasok fought a battle and lost it."

The BBC's Malcolm Brabant in Athens says Mr Papandreou is now under severe pressure to resign as Pasok leader, after his second election defeat in four years.

Former Culture Minister Evangelos Venizelos has already declared his interest in becoming party leader.

Nation 'rallied'

Mr Karamanlis had been expected to triumph in the poll, after calling elections six months before the end of his term of office.

But his support fell when many Greeks felt the government was slow to react to the forest fires.

However, our correspondent says the prime minister rallied the nation with a steady, competent and compassionate display during the election campaign.

Mr Karamanlis has pledged to use his new four-year term to improve the economy, fight poverty, raise pensions and create a social state for the future.

He has also told the victims of the fires that the government's commitment to them would be fulfilled completely.

The Papandreou and Karamanlis families have dominated the Greek political scene for most of the past 50 years.

But both main parties suffered a fall in votes this year, with smaller parties from the far left and right gaining support in the run-up to the election.

However, if New Democracy does fall short of the 151 seats necessary for a majority, Greece face new polls in October.

Mr Karamanlis has indicated he would not enter a coalition with smaller parties.