Kuwait's crown prince accepted the government's resignation on Sunday following a parliamentary election in the Gulf Arab country in which opposition candidates made considerable gains, state news agency KUNA reported.
Crown Prince Sheikh Meshal al-Ahmad al-Sabah, who has taken over most of the ruling emir's duties, asked the outgoing government headed by Prime Minister Sheikh Ahmad Nawaf al-Sabah to remain in a caretaker capacity until a new cabinet is formed.
Kuwait, an OPEC oil producer, held early elections on Sept. 29 after Sheikh Meshal dissolved parliament in a bid to end a political standoff between the government and the legislature that has hindered fiscal reforms.
The crown prince had appointed Sheikh Ahmad prime minister in July after opposition lawmakers in the dissolved parliament pressed for a new premier and for the removal of the parliament speaker, who bowed out of the September polls.
Stalemates between Kuwait's government and parliament have often led to cabinet reshuffles and dissolutions of the legislature over the decades, hampering investment and reforms.
(Reporting by Moataz Mohamed and Omar Fahmy; Writing by Ghaida Ghantous; Editing by Gareth Jones and Jan Harvey)