CZECH REPUBLIC: Czech president Vaclav Klaus appointed a new right-wing government yesterday that stands little chance of winning a confidence vote. Consequently, the country's political crisis is likely to stretch out for months.
The minority cabinet is led by Mirek Topolanek, a 50-year-old former businessman whose Civic Democrats (ODS) won an election in June, but lacks a parliamentary majority.
"I am convinced that the government in this line-up will ensure as much continuity as needed but will not be afraid of making the necessary changes," Mr Klaus said. "I am convinced that it will ensure the continuation of our foreign-policy orientation, both within the EU and in the transatlantic community."
Mr Topolanek has said his administration could start reforming the debt-ridden healthcare, welfare and pension systems, but was unlikely to make any fundamental adjustments before an early election, which he wants held next spring. But his Civic Democrats will likely fail to win confirmation of their cabinet in a confidence vote due by October 4th, and also lack support for any early election plan.
Mr Topolanek can at best rely on the support of his own deputies, the Greens and the centrist Christian Democrats, but all those votes together are still one short of a majority in the lower house of parliament. Alexandr Vondra, a former anti-communist dissident and later ambassador to the United States, will be foreign minister while flat-tax fan Vlastimil Tlusty will take over the finance portfolio.
The leftist Social Democrats of outgoing prime minister Jiri Paroubek and the far-left Communists, who together make up the other half of parliament, have rejected giving support to Mr Topolanek.
If he fails to win the confidence vote, two more attempts to form a government must be held before the president can call new elections.
Analysts have said the stalemate would likely last several more months, beyond local and upper house elections in late October, before the parties agree on a temporary cabinet and probably new polls next year.
The Czech currency has held firm despite the political crisis, supported by record strong economic growth and exports.