Polish ruling party split over PM's future

Fresh cracks appeared in Poland's ruling party yesterday when Interior Minister Jozef Oleksy raised the possibility Prime Minister Leszek Miller may step down early. Mr Oleksy said the Democratic Left Alliance party (SLD) was split on whether Miller should quit as prime minister soon, stay on until June's European Parliament elections or until the end of parliament's term in late 2005.

"Divisions over the issue exist. But they are difficult to measure," Mr Oleksy, seen as Mr Miller's rival in the party, told public radio.

Mr Miller announced this week he was quitting as SLD leader, yielding to pressure from colleagues after opinion polls showed support for the SLD had fallen to 12-13 per cent from more than 40 per cent during the 2001 general election.

The wrangling inside the SLD, and the possibility that reform critic Jolanta Banach could be elected SLD leader, has fuelled concerns about Poland's ability to implement fiscal austerity measures, putting fresh pressure on the zloty.