RIGA -- Latvian Prime Minister Evika Silina announced on Thursday that she would resign after the country's three-party coalition government collapsed.

The announcement came a day after the Progressive party called on President Edgars Rinkevics to begin consultations on forming a new government, saying the Silina-led cabinet had lost its ability to function. The party said the situation left two options: the prime minister's resignation or a parliamentary confidence vote.

Following talks with the Progressives on Wednesday, Silina said she had proposed continuing the coalition's work, but the Progressives said the New Unity-led coalition no longer had their support.

The Union of Greens and Farmers also said on Wednesday that the Progressives' withdrawal of support had effectively brought down the government, adding that a new government would benefit the country.

Tensions between Silina's New Unity party and the Progressives escalated after Silina dismissed Defense Minister Andris Spruds, a member of the Progressives, last Sunday. The dismissal followed recent drone incidents in eastern Latvia, where two foreign unmanned aerial vehicles crashed into an oil storage facility and damaged an empty oil tank.

Rinkevics said he plans to meet representatives of all parliamentary factions to discuss the current political situation. He added that Latvia needs a functioning government with parliamentary support despite parliamentary elections being only five months away.