Foreign Minister Gabrielius Landsbergis and Transport Minister Marius Skuodis will remain in their posts, Prime Minister Ingrida Šimonytė announced on Tuesday night. Meanwhile, the head of the state-owned railway company LTG (Lithuanian Railways) will step down over the Belarusian potash transit debacle.
Late on Tuesday night, Šimonytė said she had rejected the two ministers' resignation letters. Šimonytė also said her government would not step down, something she had hinted at the day before.
Read more: Lithuanian government crisis – how did it get here?
Landsbergis and Skuodis have offered their resignations after it turned out that Lithuania's state-owned railway company would continue transporting Belarusian fertilisers even as the US imposed sanctions on Belaruskali, the state-owned potash manufacturer.
“Taking into account the escalated geopolitical situation, as well as the ongoing challenges of Covid-19 and migration, it would be irresponsible to risk and cause uncertainty that would accompany even an attempt to form a new ruling coalition or significantly change the government makeup,” Šimonytė said in a statement on Tuesday night.
“Therefore, assuming that it has the trust of the coalition parties, the government will continue its work in its existing makeup and in cooperation with other institutions pursuant to the Constitution of the Republic of Lithuania,” she added.
“I considered the issue of my personal responsibility very seriously and honestly. I realise it very well. However, there's no real alternative majority in the parliament at the moment, capable of taking up leadership and initiative and offering Lithuania its programme,” the prime minister said.
Belaruskali exports most of its production via Lithuania. The US sanctions on the company were announced in August and came into force on December 8. Although they only apply to US entities, it had been assumed that Lithuanian companies would immediately stop dealing with Belaruskali because banks would no longer process the company’s financial transactions. However, Belaruskali shipments via Lithuania did not stop, because Belarus' potash giant had made advance payments to Lithuanian Railways back in November.
The Lithuanian government says that the US sanctions do not directly apply to the transit of fertilisers through Lithuania. However, the government announced last week, after the sanctions had already taken effect, that it was seeking to terminate Lithuanian Railways' contract with Belaruskali.
Lithuanian Railways chief to step down
Earlier on Tuesday, the board of Lithuanian Railways announced that the company's CEO Mantas Bartuška would step down after a transition period.
Until then, he will be expected to find a solution to the situation, said Kęstutis Šliužas, board chairman of the railway company.
“The best decision to ensure continuity of the company's operation would be to agree with the CEO on a transition period when the CEO would be able to leave the existing position,” Šliužas told journalists.
He did not specify how long the transition period would last, but added that the company's board and Bartuška himself unanimously backed the decision.
Bartuška will leave the post in order to de-escalate the situation and to mitigate reputational risks for the company, the board chairman said.
In his words, before his resignation, Bartuška and his team will be expected to create “a very clear, transparent and effective” action plan on how to further bring the situation under control.
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