Victorious Slovak leftists vow to break with reforms

By Alan Crosby and Matt Reynolds

BRATISLAVA (Reuters) – Slovakia’s leftist Smer party
promised a radical break with economic reforms on Sunday after
winning an election that showed voters’ fatigue with the tough
changes made during eight years of center-right rule.

Smer, led by populist Robert Fico, faces an uphill struggle
to form a coalition government after failing to win an outright
majority in Saturday’s parliamentary election, the first since
the former communist nation joined the European Union in 2004.

Full provisional results showed Smer won 29 percent of the
votes and Dzurinda’s party secured 18 percent. Long coalition
talks are likely and reformist Prime Minister Mikulas Dzurinda
might yet hang on to power if Fico fails to find any partners.

The talks are likely to decide the future of reforms which
included introduction of a flat tax rate, won plaudits abroad
and transformed the landlocked nation of 5.4 million people
into one of Europe’s fastest growing economies.

They could also determine whether Slovakia adopts the euro
single currency in 2009 as planned.

Vowing to rein in reforms he says have left many people
behind, Fico told supporters: “Fast economic growth will no
longer be for the benefit of a narrow group of people.”

Fico then led party faithful in a rendition of the national
anthem, one of few signs of celebration.

He signaled he will try to woo center-right parties that
have traditionally been allied to Dzurinda rather than make
advances to fringe groups such as a nationalist party which
came third with 11.7 percent of the votes.

“We want a center or center-left government that will
establish solidarity and reduce the differences that have grown
between economic groups because of eight years of Dzurinda’s
reforms,” he said during a televised debate.

EURO PLEDGE

Fico vowed to respect Slovakia’s target of adopting the
euro in 2009 but left the door open to a revision of the date.

“We confirm January 1, 2009, as the euro date but in case
it’s not favorable for the country, we could think about
revising it,” he said.

President Ivan Gasparovic is likely to first ask Fico to
form a government and, if he fails, then turn to Dzurinda.

Dzurinda, eastern Europe’s longest serving leader after
eight years at the helm, refused to accept defeat.

The combined vote for Dzurinda’s Democratic and Christian
Union and his two most obvious allies was just over 38 percent,
and he would need one more partner to gain a majority in the
150-seat parliament if Fico fails in his bid.

Dzurinda urged the two parties — the Ethnic Hungarian
Party and the Christian Democrats — to stick together, keep
Slovakia on the reform path and resist Fico’s approaches.

“We have quite a strong position together and I hope our
cooperation will be effective and productive,” he said.

Ex-prime minister Vladimir Meciar, whose center-left party
won 8.8 percent of votes, could emerge as a kingmaker if Fico’s
efforts to woo the center-right fail and he turns to the fringe
parties. Meciar’s authoritarian rule was widely blamed for
pushing Slovakia into international isolation in the 1990s.