Kostunica resigns as Serbian leader

SERBIAN Prime Minister Vojislav Kostunica resigned on Saturday, dissolving a coalition too divided over the loss of Kosovo to carry on.

Kostunica said he would recommend an election on 11 May, to allow voters todecide the way forward.

Serbia’s fragile economy has already been hit by the political uncertainty. The volatile stock exchange has fallen and the dinar currency has lost 6% since January.

“A government that has no united policy cannot function, of course, and this is the end of the government,” Kostunica said. “That means that we have to give the mandate back to the people.”

His announcement was the climax to a political struggle over a fundamental question that now faces Serb voters: should they go on working to join the European Union even though the EU has recognised the secession of their cherished province?

Nationalist Kostunica says “no”, while his erstwhile main coalition partner President Boris Tadic says “yes”. The strain between them reached breaking point three weeks ago after Kosovo declared independence and Belgrade was hit by anti-Western rioting.

Kostunica took the helm last May after protracted coalition talks with Tadic.

“I have called a government session on March 10 to discuss dissolution of parliament,” he said.

Tadic, leader of the pro- Western Democratic Party, said: “I respect the prime minister’s decision that he is no longer able to lead the government of Serbia and when I get the government’s decision, I will call an election.”