by Italy finally has a government, but its public finances are likely to be soon back in the spotlight.Following a spectacular U-turn, the Five Start Movement (MS5) and the League reached a deal to form a government under their original candidate for prime minister, Giuseppe Conte.Both parties agreed on a new finance minister, Giovanni Tria, while Paolo Savona, who was blocked by President Mattarella last Sunday, will be minister for EU affairs. M5S leader Di Maio will be minister for labour and economic development. Matteo Salvini, the head of the League, will be interior minister.While calm may be restored in the short term, medium-term risks remain present and Italian public finances are likely to quickly return to the spotlight.Tensions will likely return after the summer: a budget plan
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Nadia Gharbi considers the following as important: Italian politics, Italy debt, Italy government, Macroview
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Italy finally has a government, but its public finances are likely to be soon back in the spotlight.
Following a spectacular U-turn, the Five Start Movement (MS5) and the League reached a deal to form a government under their original candidate for prime minister, Giuseppe Conte.
Both parties agreed on a new finance minister, Giovanni Tria, while Paolo Savona, who was blocked by President Mattarella last Sunday, will be minister for EU affairs. M5S leader Di Maio will be minister for labour and economic development. Matteo Salvini, the head of the League, will be interior minister.
While calm may be restored in the short term, medium-term risks remain present and Italian public finances are likely to quickly return to the spotlight.
Tensions will likely return after the summer: a budget plan will be presented to Parliament by 20 September, while a draft budget to European commission will need to be submitted to the European Commission by mid-October.