Parliament has resumed in Nauru after the President Sprent Dabwido yesterday sacked his five man cabinet.
The replacements include a former president Marcus Stephen and Dr Kieren Keke, who returns as foreign minister.
The government spokesman, Rod Henshaw, says the 18 member parliament is split nine - eight in Mr Dabwido's favour, with the Speaker, Ludwig Scotty holding the casting vote.
He says there had been concerns at what Mr Scotty might do following the wholesale sacking.
"There was some speculation earlier. No one seemed to know what the Speaker might do, because if he was to stand down that would create a deadlock. There was some fear, I guess is the best way to describe it, that he would do that which would then put the Dabwido government into caretaker mode then various other mechanisms would come into play. But he didn't stand down. He gave every indication it is business as usual."
Parliament is expected to begin discussing the budget from this afternoon.