The Christian Democrat deputy chairman Jan Kasal has said that following the Social Democrats' national congress at the weekend the Christian Democrats will probably have to convene their national conference which will decide on whether the party will leave the cabinet. Mr Kasal said that was very probable in view of the resolution which bans the Social Democrats from agreeing to early elections and since the Social Democrats have made it clear that Stanislav Gross will keep the post of Prime Minister. Mr Gross said in a televised debate on Monday that he did not intend to resign and did not plan to ask the lower house for confidence.
The chairman of the opposition Civic Democrats Mirek Topolanek has said that the state-controlled landline operator Cesky Telecom should be privatised through stock-market floatation. According to Mr Topolanek the opposition has no influence on the methods of privatisation of Cesky Telecom. Prime Minister Gross said at the weekend that the government should decide on the sale of Cesky Telecom as soon as possible. Tuesday is the closing date for binding bids. Still taking part are the telecommunication companies Swisscom, Belgacom, and Telefonica of Spain, along with the financial consortium Blackstone/CVC/Provident, which has partnered with France Telecom.
The leaders of the coalition parties are expected to resume talks on the government crisis on Tuesday at their regular meeting. It will be their first meeting since Stanislav Gross was elected Social Democrat chairman. Question marks are hanging over the future of the ruling coalition as the Christian Democrats have said repeatedly they may not stay in the coalition because of the controversies over the Prime Minister's private finances.
Prime Minister Gross has said that if the Social Democrats fail to have the government-proposed general referendum bill approved in parliament, they will draft a special law on a one-off referendum on the European Constitution. This means that the Social Democrats will not take into account a referendum bill by proposed the opposition Civic Democrats, which was approved by the Senate last week.
But, Mr Gross' re-election as chairman of the Social Democratic Party
has left the future of the governing coalition in doubt: coalition
partners, the Christian Democrats, had called for the prime minister's
resignation over the last month, saying they would pull out of the
government unless the prime minister accepted responsibility for a
recent property scandal.
There has been no final decision by the Christian Democrats yet, however they have made it clear when talks between the two political parties reconvene they will push for either Mr Gross to step down, or for early elections, as a condition for holding the coalition together. Christian Democrat leader Miroslav Kalousek has said the two sides should meet within a matter of days. The prime minister, meanwhile, indicated the ball is now very much in the Christian Democrats' court; he would prefer the government to continue in its present form until national elections in 2006.
A slim majority of delegates at the Social Democratic Party's congress in Brno, has re-elected Prime Minister Stanislav Gross as head of the Social Democrats. On Saturday Mr Gross defeated lone rival Zdenek Skromach by just less than 53 percent of the vote - a number of delegates abstained. Following his victory Mr Gross said he accepted responsibility for his party in the next national elections, in 15 months' time.
On Saturday the Social Democrats also elected a new inner party leadership: among those elected to deputy chairman posts were strong Gross supporters, the Finance Minister Bohuslav Sobotka and the Minister for Regional Development Jiri Pardoubek. Mr Gross' rival for the party leadership, Zdenek Skromach, also contended for a post but came up dry, and is said to now be considering leaving the government altogether. Mr Skromach is the Minister for Labour and Social Affairs. Other changes in ministerial posts may also be ahead: there are indications that if Mr Skromach leaves, Agriculture Minister Jaroslav Palas will also give up his post.
A slim majority of delegates at the Social Democratic Party's congress in Brno, has re-elected Prime Minister Stanislav Gross as head of the Social Democrats. On Saturday Mr Gross defeated lone rival Zdenek Skromach by a total of 53 percent of the vote - a number of delegates abstained. Following his victory Mr Gross said he accepted responsibility for his party in the next national elections, in 15 months' time.
The popularity of the current party chairman, Prime Minister Stanislav Gross, is at an all-time low of 19 percent, following weeks of strong criticism over alleged irregularities in his family's personal finances, including how he bought a luxury Prague apartment several years ago, as his official salary was insufficient to have funded the purchase. If Stanislav Gross is not confirmed as party chairman, it could mean the eventual collapse of his Social Democrat-led coalition government. His main rival for the chairmanship is the current Labour Minister, Zdenek Skromach.
A bumper harvest across Central Europe has forced the European Commission to intervene, buying up and moving large amounts of surplus stocks from growers across the Czech Republic, Hungary and Poland to prevent a market collapse. The EU has already committed to buying up 13.5 million tons as "intervention stocks," taking these stocks to their highest levels for six years, with about 60 percent of this coming from the new EU member states. The EU has tried to solve the surplus issue by increasing export subsidies on the free market.