Romania's parliamentary election was too close to call today with early results showing the two opposition parties level, increasing the likelihood of long coalition talks and an impotent government.
Results from 71 per cent of voting stations showed the leftist Social Democrats (PSD), heirs to the communist leadership overthrown in a 1989 revolt, and the centrist Democrat-Liberal Party (PD-L) taking around 33 per cent of votes for the lower house of parliament.
In the vote for Senate seats, the PD-L was 2 percentage points ahead with 35 per cent, against the PSD's 33 per cent.
The two parties are now set to wrestle over who will head the next government, although the centrists have an upper hand because of their close links with president Traian Basescu who nominates the prime minister under Romanian law.
Coalition talks may depend on outgoing prime minister Calin Tariceanu's Liberal Party (PNL), likely to play the role of kingmaker if it forges an alliances with one of the bigger parties. The PNL won 18 per cent.
The partial results come after exit polls had shown a convincing, five-percentage point lead for the PSD overnight.
Prolonged wrangling over the next government threatens to delay crucial decisions on the 2009 government budget, which economists say needs to calm market jitters about the Romanian economy with decisive belt-tightening measures.
A policy deadlock in recent months has heightened concerns about potential financial crisis in the poor Black Sea state of 22 million people, which depends on foreign cash to finance development.
Economists say Romania is now more vulnerable than many of its neighbours and may need foreign support, such as the funding help sought by Hungary from the International Monetary Fund.
Already, in response to a policy logjam, two rating agencies had downgraded Romania's debt to sub-investment grade in recent weeks, making Romania the only EU member with "junk" status.