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Political Risk / Czech Republic

Crushing Defeats For Social Democrats

December 2004 | Political Risk Analysis

The senior government member, the Social Democratic Party (CSSD), has suffered crushing defeats in regional and Senate elections. Opposition parties claim that the CSSD has lost the mandate to rule and have called for early elections. BMI View: The constitutional requirements for an early vote mean that a decision on this will remain in the CSSD’s hands. It therefore seems likely that a vote will be postponed in order to give the party time to win back support. Although some have suggested an adjustment of the ruling coalition or of the CSSD leadership, neither move looks likely to bring the stability that is needed to assure fiscal discipline and progress on reform.

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