By Ingrid Melander
ATHENS | Mon Nov 1, 2010 8:13am EDT
Nov 1 (Reuters) - Greece is scrambling to cut spending and boost revenues to meet a tough year-end deficit target prescribed in a multi-billion euro EU/IMF bailout.
The debt-choked country has made progress in pushing through reforms but tax collection is still lagging and investors question whether it can sustain these efforts in the face of a bleak economic outlook and social discontent.
Prime Minister George Papandreou has upped the stakes on Nov. 7 and 14 local and regional elections by hinting he may eventually call early general elections if he loses support for austerity policies aimed at pulling the country out of a severe debt crisis.
Investor worries over recession, an approaching revision of 2009 deficit data, and risks of political uncertainty have pressured bond yields and the cost of insuring Greek debt.
Following are the key political risks ahead: