Slovakia's government's voted today to reject the EFSF, an expansion of the euro zone's bail out fund, losing a confidence vote that Prime Minister Iveta Radicova had linked to the vote on the bailout fund, Reuters reports.
The parliament's decision to reject the 440 billion euro EFSF was anticipated after a junior party in the four-party coalition said that it would abstain from the vote. All 16 other euro zone countries have already ratified the plan, which would give more powers to the EFSF.
Radicova's decision to link the confidence vote to the bailout fund was in order to convince the rebels in her four-pary coalition to support the bailout fund.
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The main opposition party in Slovakia, left-leaning Smer, announced that it would discuss supporting the EFSF deal after the Radicova government has fallen.
Slovakia was the last country to vote on the European Financial Stability Fund rescue package, and the package is expected to go through later this week because the prime minister will ask for help from the opposition.
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