Phased elections could spark crisis in government: Markinor JOHANNESBURG Aug 4 Sapa The decision to go ahead with phased local government elections could trigger a crisis in the Government of National Unity, according to the latest Business Climate Intelligence report published by the Markinor Research group. But the warning was tempered by a finding that phased elections were far more favourable than total postponement, or carrying on regardless. "Although the decision to go ahead with phased elections has kept the process of democratisation in South Africa on track, the move could precipitate a crisis in the Government of National Unity and between central and local government," Markinor said in a statement on Friday. "The report indicates that the implications of the phased election route are far more favourbale than those of the other two options. "The phased option will reduce conflict, ease pressure on the security forces and send a positive message to the international community and particulary investors," Markinor account director Mari Harris commented. An inflexible attitude would have caused new business partners to "baulk at investing in South Africa", thus weakening the international links established since last year's general election, Harris said. According to the report, the local government elections, conflict in KwaZulu/Natal and South Africa's re-entry into the international ecenomic system dominated the state of the nation. The report is released quarterly by the Markinor reseach group and the University of Potchefstroom's Institute for Futures Studies.