CZECH REPUBLIC: The squabbling partners in the Czech Republic's creaking coalition government appeared close to clinching a compromise deal last night to allow the cabinet to survive without support from the Communist Party and avert the prospect of early elections.
The coalition collapsed in deep acrimony amid media allegations of financial wrongdoing by prime minister Stanislav Gross of the Social Democrats.
President Vaclav Klaus, of the rival Civic Democrats, threatened to call early elections rather than allow Mr Gross's government to survive with the parliamentary support of the communists, who have changed less and enjoy more enduring support than their comrades in other former Eastern Bloc states.
To avoid a snap poll that the Social Democrats would almost certainly lose, Mr Gross agreed to resign if their coalition partners stayed in the government. That deal collapsed when the Christian Democrats and Freedom Union said they would place two top officials who helped bring down Mr Gross in key positions in the new cabinet.
To break the deadlock, those two men - transport minister Milan Simonovsky and environment minister Libor Ambrozek - stepped down yesterday as vice-chairmen of the Christian Democrats. Mr Simonovsky said his decision proved his party's willingness to compromise for the good of the Czech Republic, which joined the EU and NATO last year. "I don't think we can make any more concessions."
Mr Jiri Paroubek, currently the regional development minister, was tipped to replace Mr Gross as head of the government.
Elections are scheduled for next year, but Mr Gross's travails have dealt a crushing blow to the struggling Social Democrats.
A poll published this week showed its popularity at a record low of 11.9 per cent. The Civic Democrats had 33.6 support and the Communist Party 17.6 per cent.