On the second day of the general strike that has paralyzed most parts of Greece especially its capital city, protesters clashed with anti-riot police as the mass actions participated in by the private and public sectors closed down government offices, shops, schools and airports became quite unmanageable.

Civilians hurled fire bombs and stones at policemen who countered with tear gas and baton charges.

Most of the streets in Athens have become a no-man's land while more than 70,000 people assembled at the Syntagma Square where they were supposed to hold a vigil in front of the Parliament building, according to BBC News.

The situation is not different in the bargaining table where Greek finance officials have been locked in a virtual stalemate with representatives of the European Central Bank, European Commission and International Monetary Fund studying details of the debt reduction program for the beleaguered nation.

The government has already declared that their deficit this year will be down to 8.5 percent from 10.5 percent in 2010 but this is still short of the 7.6 percent prescribed by the IMF and European Union.

Greece is still waiting for second part of the bailout assistance.

The Cabinet has warned that it will run out of money by next month if the funds are not released although EU leaders and finance chiefs are expected to disburse the money later this week.

Greece's failure has led to doubts about the euro, and fears that the crisis could extend to other countries.

Critics have also questioned whether the EU's bailout fund or the European Financial Stability Facility (EFSF) is enough to prevent the crisis.

Economic observers said that Greece is in trouble because it has been living beyond its means in recent years, and its increasing level of debt has placed a huge strain on the country's economy.

The Greek government borrowed heavily and turned to heavy spending after it adopted the euro. Public spending rocket while public sector wages nearly doubled in the past decade.

"However, as the money flowed out of the government's coffers, tax income was hit because of widespread tax evasion. When the global financial downturn hit, Greece was ill-prepared to cope," the BBC News reported.

As EU member-nations prepare for the Summit in Belgium, doubts have been cast regarding the results and Greece is still confronted with the crises from both ends.