Nauru's government wants to dissolve parliament because the parliamentary process is at an impasse.
The parliament has until Thursday to decide whether to agree to the dissolution, which signals a general election for no later than July 31st.
The Justice minister Russel Kun says the decision was President Rene Harris' prerogative.
Mr Kun says Mr Harris discussed it with cabinet two weeks ago and it's agreed that the parliamentary process is stalled.
"Because parliament is out of control, that's why. Not only the numbers. Government can't legislate or anything, the house can't legislate or whatever. No business is going forward. You see the government number is not in full force at the moment while the others are away trying to finalise the GE loan."
Mr Kun dismisses claims that the election will be held without a parliamentary-approved budget if the dissolution comes before two critical budget bills are passed by the end of the month.
He says if dissolution takes place, the government will simply start anew and submit fresh bills for finance.