NO-HEADLINE

Vaclav Klaus was yesterday sworn in as Prime Minister of the Czech Republic, thereby becoming the first conservative leader in central and eastern Europe to win a second term of office since the fall of Communism.

Mr Klaus's appointment followed a general election five weeks ago in which his centre-right ruling coalition lost its overall majority but remained the strongest force in parliament. Mr Klaus said his reinstatement underlined the confidence the country had in his brand of no-holds-barred economic reform. As leader of a minority government, however, Mr Klaus's survival will depend on the support of the opposition Social Democrats, who are pressing for significant policy concessions. Adrian Bridge