Round Two

January 2007 | Risk Summary

President Vaclav Klaus has formally appointed an ODS-led coalition government for the second time since inconclusive elections in June 2006. The cabinet must now pass a vote of confidence within 30 days, though Prime Minister Miroslav Topolanek has stated he will seek to hold it as early as possible. The problem is, even seven months on, not much has really changed: the centre-right coalition only has the support of half the chamber of deputies, and will require the backing of at least one opposition deputy - hardly a robust majority. As such, we retain our core view that fresh elections

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