By George Thande VICTORIA (Reuters) - The Seychelles vice president will complete the five-year term of resigning President James Michel, a statement from the state house said on Wednesday, despite a shake-up of national politics after the opposition won parliamentary elections this month. Michel, whose party has ruled Seychelles since 1977, announced his resignation on Tuesday but it was initially unclear whether new elections would be held. On Wednesday, State House issued a statement saying Vice-President Danny Faure would be sworn in on Oct 16 and finish Michel's term. "Vice-President Danny Faure will succeed me and finish my remaining four years," the statement quotes Michel as saying. Michel did not give a reason for his resignation, but it follows this month's victory for the opposition coalition Linyon Demokratik (LDS) in parliamentary elections amid growing public frustration over economic inequality. In the vote for a 33-seat parliament, the LDS secured 19 seats and Michel's Parti Lepep won 14, marking the first transfer of power within the legislature in the nation's history. In April, parliament unanimously voted to amend the constitution and limit presidential terms to two instead of the previous three. The tiny nation of 115 islands and 93,000 people mostly relies on tourism for revenues. But recently it has tried to promote itself as a financial services hub by offering a low-tax environment for companies registered on its territory. (Writing by Katharine Houreld; Editing by Shri Navaratnam)
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