Italian Populists Create Government After Weeks of Struggle

On Thursday evening, Italy’s two main populist parties were given permission to go forward with their project of creating a fully-populist government.

Last week, the two parties’ leaders had to stop their project to form a government after president Sergio Mattarella denied their controversial pick of Paolo Savona for the economy minister. They were quite angered by the president’s decision, even going to the extent of calling for Mattarella’s impeachment.

Savona has been known for his public criticism on Italy’s decision to enter the Eurozone two decades ago. When discussing his decision on Sunday, Mattarella stressed his responsibility to create a solid cabinet, and that picking Savona would’ve been ultimately damaging to the Italian economy and its financial markets. He also stated that Luigi di Magio, leader of the Five Star Movement party, and Matteo Salvini, leader of populist party The League, had been taken into consideration during the decision-making process and always showed himself open to negotiation. He stated: “I asked for that ministry an authoritative political figure from the coalition parties who was not seen as the supporter of a line that could provoke Italy’s exit from the euro”.

Following Mattarella’s decision, the two leaders became infuriated, with Salvini stating that “We are not a free country, we have limited sovereignty,” and Di Magio stating, during a late night talk show, his intentions of accusing the president with claims of high treason. They also stated their belief that Germany had influenced the president’s verdict, and that financial lobbies were involved as well. Di Magio has also stated that “In this country, you can be a condemned criminal, a tax fraud convict, under investigation for corruption and be a minister … but if you criticise Europe, you cannot be an economy minister,” and that he is eager to “give the floor” to the Italian people after Mattarella’s impeachment.

However, after a week of conflict, the two parties sent a collaborative note in which they stated: “An accord has been reached for a Five Star-League government with Giuseppe Conte as prime minister.”

Their selection of Mr. Conte as prime minister has also been controversial since he was seen as someone who would merely follow Di Maio and Salvini’s orders. His public reputation got even worse after claims that he had filled his CV with false credentials as a researcher in several universities,  taking advantage of his position as a stranger and a newcomer to politics.

The position of minister of the economy could be given to Giovanni Tria, an economics professor. Although Tria has been critical of Italy’s position in the E.U., he has not argued for the country to leave the union, unlike Savona. His focus is targeted more towards making changes in the union’s fiscal laws so that Italy can increase its public investors.

The League’s Salvini could become interior minister, where he would be able to deliver his campaign promise of deporting half a million illegal immigrants in the country. Di Maio is said to be interested in being the minister of industry and labor, coming through with his campaign promise of having a minimum wage for the poor and unemployed.

All throughout the process, finance experts and economists have shown their concern towards the creation of a Populist government, since this would likely mean more spending for the country, as well as increased debt.

Featured Image via: Wikimedia Commons