Sweden's far-right party gives up on cabinet posts amid post-election gridlock

STOCKHOLM, Nov 6 - The far-right Sweden Democrats party, an ally of the right-wing caretaker government, said on Friday it was dropping demands for ministerial posts, potentially boosting Prime Minister Ulf Kristersson's chances to remain in power.Kristersson's bloc lost its majority in a September election but was tasked this week by Sweden's parliament speaker with exploring a government formation as the centre-left election winners failed to agree on a coalition.Sweden's Centre Party, which could hold the key to deciding whether the Nordic country gets a right-wing or a left-wing government, has ruled out supporting a cabinet that includes the Sweden Democrats, as well as one that includes the Left Party.Sweden Democrats leader Jimmie Akesson said on Friday that, as a result of the election outcome, his party will remain outside of government in the next four years, and is prepared to "tolerate" the formation of a centre-right cabinet.Still, the Centre Party has said it favours Social Democrats leader Magdalena Andersson as prime minister, and there is no indication so far that the Centre Party will back a Kristersson government.The Centre Party did not have an immediate comment.Parliament Speaker Andreas Norlen is widely expected to give the mandate back to Andersson should Kristersson fail to gain a majority.If no solution is found, Sweden could face a new election. REUTERS