04/23/10

Permalink Belgian government collapses, economy at risk

BRUSSELS, April 22 (Reuters) - Belgian Prime Minister Yves Leterme's government collapsed on Thursday after the Flemish liberal party pulled out of his five-month-old coalition, causing a crisis that could damage its fragile economy. Leterme, 49, tendered his government's resignation to King Albert after an emergency cabinet meeting, but the monarch did not immediately decide whether to accept it. "The king and the prime minister jointly underlined that, in the current circumstances, a political crisis would be inopportune and would seriously damage both the economic and social well-being of the citizens and the role of Belgium in Europe," the palace said in a written statement. Political analysts said Leterme might be persuaded to stay on. Otherwise parliament would have to be dissolved and an election held within 40 days.

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