Kyrgyz Prime Minister Temir Sariyev resigned on Monday after a parliamentary commission accused his cabinet for corruption, a move highlighting tensions between different factions of President Almazbek Atambayev's supporters.
"Squabbles, rumors and gossip have upset the balance within the government," Sariyev said. "The government's work has stalled at such a difficult time."
A commission set up by the ex-Soviet republic's parliament said last week the government had broken the law, accusing it of having rigged a $100 million road construction tender to ensure it was given to a Chinese firm that lacked the required license.
Sariyev, who has denied any wrongdoing, had asked Atambayev to sack Transport Minister Argynbek Malabayev, but Atambayev has refused to do so.
Sariyev, 52, has run the Central Asian nation's government since last May, at the time when its economy has come under pressure from the recession in Russia and slowdowns in other neighboring countries such as China and Kazakhstan.
Social Democrats closely linked to Atambayev lead a coalition that dominates the parliament and also includes Kyrgyzstan, Onuguu-Progress and Ata Meken parties.
The coalition, which controls 80 out of 120 seats in the legislature, will propose a new prime minister if Atambayev accepts Sariyev's resignation.