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Economy / Czech Republic

Round Two

November 2006 | Risk Summary

The two main political parties - Civic Democrats and Social Democrats - are attempting for the second time to negotiate a way out of the political deadlock in the Czech Republic. Yet fundamental differences between the parties continue to maker reaching any agreement a laborious task. The wrangling is likely to continue into 2007, at which point early elections will have to be called. Given current opinion polls, it is the CSSD that stands to lose most from a fresh ballot, as the ODS have strengthened their position, and still have relatively good relations with the centrist Christian Democrats and

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