In February, Andris Skele was implicated in a paedophile scandal that rocked Latvia.

BBC: Latvian PM resigns

Andris Skele's government took power last July after the previous government was brought down in a dispute over fiscal policy.

BBC: Latvian PM resigns

The People's Party, led by Andris Skele, a former prime minister, is now hoping to patch together a coalition with Latvia's Way, whose platform including support for a stable currency and the privatisation of the few firms that remain in state hands is virtually identical to its own.

ECONOMIST: Latvia votes for Europe