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Liechtenstein has said it will sign the agreement on an expanded European Economic Area despite its earlier refusal to do so because of open disputes with the Czech Republic and Slovakia. Lichtenstein threw a damper on hopes of creating a large area of free trade, finance and travel in Europe, when it walked away from the agreement a few weeks ago. Norway and Iceland also refused to sign in a show of solidarity. The refusal came after the Czech Republic and Liechtenstein crossed swords over sensitive SWW issues. Liechtenstein demanded that the Czech Republic open the door to property claims by its citizens relating to past confiscation of land and property - a demand that Prague refused to comply with. Liechtenstein said on Wednesday that it did not want to block progress on European integration and would sign the agreement, along with Norway and Iceland. Its officials have stressed however that this does not signify any change in position regarding the unresolved SWW issues.

Speaking at a meeting of Czech Army commanders at the Ministry of Defence, President Vaclav Klaus said reform of the country's defence forces should be carried out as soon as possible. Mr Klaus, who as president is the army's supreme commander, said it was necessary to find a balance between being able to defend the country and fulfilling the obligations that went with membership of NATO and other international organisations. The Czech Army is due to become fully professional by the beginning of 2005.

Scientists are to conduct tests to ascertain whether the Temelin nuclear power station in south Bohemia is to blame for a drought in the region. Local farmers say clouds of hot steam rising from Temelin's cooling towers are effectively chasing away rain clouds, leaving their land dry. The director of the Czech Hydrometeorological Institute told the daily Pravo Tuesday they would compare data currently being gathered near the plant with long-term climate records.

Health Minister Marie Souckova has indicated she is less than enthusiastic over weekend results from the Czech Medical Chamber's conference, held in Brno. That meeting saw David Rath, the body's president, earn a confidence vote and retain his post, with Mr Rath receiving 156 votes in his favour and 72 against. All the same the conference was not without controversy: many delegates refused to take part in the vote on the grounds the conference had been manipulated. Meanwhile, speaking on Sunday the health minister said she respected Mr Rath's reconfirmation, but stressed she was unsettled by what she called "unresolved issues". One of Mrs Souckova's concerns, for example, is inappropriate finance management by the chamber's executive body. She cited the example of an outstanding 1.2 million crowns the chamber owes the country's tax bureau, a discrepancy that came to light after auditors began investigating the chamber's books. The case is currently being continued by a special commission as well as by the police.