Greece has until tonight to sort out a new government - or face losing its emergency EU bail out.

130 billion euros have been earmarked for the debt-ridden country - but only if the uncertainty over who is running the country ends.

Current Prime Minister George Papandreou has agreed to step down, but politicians in Athens are yet to agree who'll replace him.

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Elsewhere in Europe, the amount Italy has to pay to borrow money has gone up
yet again - their debt now stands at 1 point 9 trillion Euros.

Shares have fallen across Europe - and
there are rumours Italian President Silvio Berlusconi could alsoresign.