Lithuania centre right wins vote, tough talks ahead
VILNIUS (Reuters) - Lithuania's main center-right opposition won the first round of a parliament election, results showed Monday, but it faced tough coalition talks after populist parties, including a famous TV show host, did well.
The vote took place amid anger over double digit inflation and fears the once high flying economy would slide in the global financial crisis. A newly assertive Russia has also been a focus of concern for some in the former Soviet republic.
"Any conclusion about a possible coalition would be premature and unwise, but I see a good chance to picking a coalition for change," Andrius Kubilius, head of the victorious Homeland Union Party, told a news conference.
Nearly final results from the vote in the EU and NATO member showed Homeland Union winning 18 seats in the 141-member parliament under voting for party lists, which decide 70 seats.
But a colorful gaggle of other parties, as well as the ruling Social Democrats, came in close behind it, making future coalition negotiations tricky.
The newly-formed National Resurrection Party, led by Arunas Valinskas, host of an "American Idol" style talent show, was set for 15 seats, beating the party of impeached former president Rolandas Paksas into third place on 12.
Kubilius said the key was now parties' performance in the October 26 run offs for the 71 seats decided in single mandate constituencies. Only 4 of these were decided Sunday. Homeland Union was ahead in 25 seats, but did not win a majority.
Kubilius backs tax cuts, holding talks with the EU on keeping open the aging Ignalina nuclear power plant and an eventual launch of the euro. His party was the one which most raised the issue of Russia as a threat to Lithuania.
The ruling Social Democrats were in fourth place in party lists, but second in single mandate areas. They led the Labor Party of Russian-born millionaire Viktor Uspaskich, nicknamed the "Gherkin King" after one of his businesses.
COALITION HAGGLING
Analysts said that if Kubilius fails to form a coalition, then a new center-left government could emerge including the Social Democrats, National Resurrection and the Labor Party.
The stance of the Law and Order party of former President Rolandas Paksas, who in 2004 became Europe's only leader to be impeached and removed from office, was unclear as Paksas said the party could remain in opposition.
Paksas, who backs a tougher stance toward the European Union and more friendly ties with Russia, had hoped the vote would mark a strong comeback for him after the impeachment.
He was impeached for favoring a Russian businessman who was his aide, leading to allegations of being pro-Russian that he denies. He hopes to change the constitution so he can run for president again and overturn the impeachment.
Valinskas's party campaigned in general for a more honest state where people would live better. One of its slogans said: "The ship is sinking, at least with us it will be more fun."
A referendum on extending the life of the Soviet-era Ignalina nuclear plant was also held Sunday, despite EU demands it should be closed by the end of 2009. However, the vote failed as did not make the required turnout of 50 percent.
(Reporting by Nerijus Adomaitis and Patrick Lannin; editing by Angus MacSwan)
