SCENARIOS-What next for Belgium after government collapse?

Sat Dec 20, 2008 2:32pm GMT
 
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BRUSSELS (Reuters) - Belgian King Albert held talks on Saturday with political leaders after Prime Minister Yves Leterme's government collapsed over its handling of the Fortis rescue.

Here are possible ways out of the crisis:

EMERGENCY GOVERNMENT UNTIL JUNE

The king could appoint a so-called emergency government, as he did last December when he recalled former Prime Minister Guy Verhofstadt after Leterme had failed for a second time to form a viable coalition.

Such a government could hold power until June, when a parliamentary election could be held at the same time as planned regional and EU votes.

An elder statesman such as Verhofstadt, his predecessor Jean-Luc Dehaene or Herman Van Rompuy, president of the lower house of parliament, might be possible stand-ins.

The government would have specified powers, meaning it would almost certainly be able to push through a budget.

It would also have to resolve the problems over the state purchase of Fortis and the sale of assets to BNP Paribas, which a Belgian appeal court froze a week ago, ordering that shareholders have a say.

GOVERNMENT RETURNS WITHOUT LETERME  Continued...

 

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