East Timor's PM resigns, triggering celebrations

East Timor’s prime minister resigned today, setting off celebrations in the violence-scarred capital and raising hopes for an end to the political crisis gripping the nation.

Prime minister Mari Alkatiri, who is battling allegations that he formed a hit squad to silence opponents, has faced mounting calls to step down, including one from the country’s popular president.

Many say his dismissal of 600 disgruntled soldiers in March was to blame for street battles and gang warfare that left at least 30 people dead and forced nearly 150,000 others to flee their homes.

It was the worst violence since the nation voted for independence from Indonesia seven years ago.

“I am ready to resign from my position as prime minister,” Alkatiri said at his home in Dili today.

The offer was accepted hours later by president Xanana Gusmao, who said in a statement it went into effect immediately.