Czech govt approves reform package, fate uncertain

...its fate in parliament is highly uncertain.

The package cuts social spending and rebalances taxes toward indirect taxation and mainly in favour of richer Czechs, which has won sharp criticism by the leftist opposition but also among some deputies in the ruling coalition.

The three-party government has said it would seek an early election if the parliament rejects the reforms.

The spokeswoman gave no details but said the government would hold a news conference at around 3 p.m. (1300 GMT).

[PRAGUE/Reuters/Finance.cz]