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Italy inches toward new government as Trump backs Conte's return as PM

By Gavin Jones and Angelo Amante

 

5-Star Movement leader Luigi di Maio speaks to the media after consultations with Italian President Sergio Mattarella in Rome, Italy, August 22, 2019. REUTERS/Remo Casilli

 

ROME (Reuters) - The two parties trying to form a new Italian government made progress toward a coalition deal on Tuesday, cheering financial markets as well as U.S. President Donald Trump, who said he hoped Giuseppe Conte would be reinstated as prime minister.

 

The role of Conte has been a sticking point in the negotiations between the 5-Star Movement, a member of the outgoing coalition, and the opposition Democratic Party (PD), which has been resisting his reappointment.

 

"Starting to look good for the highly respected Prime Minister of the Italian Republic, Giuseppe Conte," Trump said on Twitter. "A very talented man who will hopefully remain Prime Minister."

 

After setbacks early on Tuesday the roller-coaster talks between the anti-establishment 5-Star and the centre-left PD appeared to be back on track later in the day, with upbeat comments from both sides prompting a strong market rally.

 

Italian 10-year bond yields fell to three-year lows, and the spread between German Bunds narrowed to below 182 basis points, the tightest since May 2018.

 

Tensions persist and surprises are possible, however.

 

Late on Tuesday, a PD source said talks were still at risk of failure over the post of deputy prime minister, saying 5-Star leader Luigi Di Maio was insisting on retaining that role in a new coalition despite strong opposition to this from the PD.

 

Talks between Italy's ruling 5-Star Movement and opposition Democratic Party (PD) are at risk of failing, a PD spokesman said on Tuesday - raising the prospect of early elections that could benefit the right wing League party. David Doyle reports.

 

Even if a deal were struck, it would need to survive an online vote of 5-Star party members, the party said in a blog post. Many of its rank and file are hostile to the PD and have used social media to urge Di Maio against doing a deal.

 

Investors, though, are betting that Italy will avoid snap elections, fearing they would be won by Matteo Salvini's hard-right League party, which would put Rome on a collision course with the European Union over expansionary government spending.

 

"Our work is continuing in a fruitful way," the PD's Senate leader Andrea Marcucci told reporters in brief comments after an evening meeting with 5-Star officials.

 

Deputy PD leader Paola De Micheli said the two sides had "analysed points for the basis of a common programme", while 5-Star's Senate chief Stefano Patuanelli reported a "good climate" and said contacts would continue on Wednesday.

 

The parties are due to report back to President Sergio Mattarella on Wednesday from 1400 GMT. If no deal has been sealed he will name a caretaker government and call elections.

 

Conte, who belongs to no party but is close to 5-Star, resigned last week after League chief Salvini declared his 14-month coalition with 5-Star was dead, seeking to trigger elections and capitalise on his surging popularity.

 

The move has not gone to plan, as 5-Star and the PD seek to form a coalition of their own, pushing the League into opposition.

 

FIGHT OVER JOBS

Earlier on Tuesday the PD/5-Star talks seemed to have run into trouble, with the two sides fighting over key jobs as well as being at loggerheads over Conte's role.

 

The PD accused 5-Star of undermining the formation of a new cabinet by demanding the interior ministry for Di Maio. 5-Star denied this, and the parties cancelled a scheduled meeting.

 

The PD says Di Maio is insisting on keeping the role of deputy prime minister that he held in the outgoing government, something it considers unacceptable if Conte is to stay on as premier.

 

It remains to be seen if the exchanges are merely tactics to secure the upper hand in negotiations over cabinet jobs, or whether they have the potential to scupper an accord between the two parties which have always been bitter adversaries.

 

The picture is complicated by deep internal divisions in both parties, each one split between leadership factions that want a deal and others that would prefer to risk an election.

 

Di Maio was absent at the start of an evening meeting of all the 5-Star lawmakers. The great majority favours an accord with the PD rather than a snap election which would probably see many lose their seats less than 18 months into this parliament.

 

Meanwhile Salvini continues to demand elections, and is likely to be disappointed by Trump's endorsement of Conte, especially as the populist League chief has always expressed his admiration for the U.S. president.

 

Opinion polls suggest the League has lost 3-7 percentage points since collapsing the government, though it remains easily the most popular party, followed by the PD and 5-Star.

 

(Additional reporting and writing by Giselda Vagnoni; Editing by Jon Boyle, Gareth Jones and Cynthia Osterman)

 

 

-- © Copyright Reuters 2019-08-28

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[Tug]

A ringing endorsement from trump should scare the you know what from any government 

[RJRS1301]

Why does the POTUS have to stick his nose into other countries politics, especially when he causes so much division and derision within  his own country?

He is barely a politician, and is certainly no statesman

 

[nobodysfriend]

Trump , Bolsonaro , Conte , Orban ... they are a pain in the rear of mankind , that's all .

[stevenl]

26 minutes ago, RJRS1301 said:

Why does the POTUS have to stick his nose into other countries politics, especially when he causes so much division and derision within  his own country?

He is barely a politician, and is certainly no statesman

 

Conte does seem to be a reasonable man though, and appears to be able to avoid a crisis in Italy.

[Sydebolle]

I am a non-Italian European, Trump is American.

I have - quite right so - no voice nor say in Italy's domestic politics including what government Italy should have as I am - as said before - a non-Italian European.

Can someone explain me, why Trump (as well as all his predecessors) need to put their uncalled grain of salt to each and every subject anywhere on the planet.

They destroyed Indochina 50 years ago and lost, they completely messed up the Middle East and they've been doing everything possible to destroy Europe. What does it take to keep those "god's chosen people" big nose out of any soup which is not theirs - please? 

[PETERTHEEATER]

Italy inches toward new government......

 

Actually, no. Italy centimeters toward new government would be correct.

[jany123]

4 hours ago, Sydebolle said:

I am a non-Italian European, Trump is American.

I have - quite right so - no voice nor say in Italy's domestic politics including what government Italy should have as I am - as said before - a non-Italian European.

Can someone explain me, why Trump (as well as all his predecessors) need to put their uncalled grain of salt to each and every subject anywhere on the planet.

They destroyed Indochina 50 years ago and lost, they completely messed up the Middle East and they've been doing everything possible to destroy Europe. What does it take to keep those "god's chosen people" big nose out of any soup which is not theirs - please? 

It's called international politics or foreign policy.... all state leaders engage in international politics, and in the west, they are given that prerogative by the electorate, who have elected the leader as their representative.... ergo the need for all voters to careful factor this into the equation before casting a vote.... your representative speaks for you.... your responsibility to your community, and the international community at large, is to elect responsibly to ensure your leader speaks your words. (Or at least that he speaks sensibly)

 

if a leader is adversely impacting on international politics, blame the electorate who's words he echos.... because... well... he's there because of them. Elect a mental midget, expect small things.

 

a robust political system, such as the Westminster system, usually has built in checks to avoid an elected officials over-reach (or to deal with it... e.g. May out/Boris in.)... so, in a flawed democracy, such as the US system, it's even more encumbant on the electors to vote wisely, as they can't control a representative, hell bent on his own agenda, post Election Day.

 

this is how your vote counts (or a vote anyway). Blame the king makers, as they empowered him.

 

 

[RJRS1301]

 

12 minutes ago, jany123 said:

It's called international politics or foreign policy.... all state leaders engage in international politics, and in the west, they are given that prerogative by the electorate, who have elected the leader as their representative.... ergo the need for all voters to careful factor this into the equation before casting a vote.... your representative speaks for you.... your responsibility to your community, and the international community at large, is to elect responsibly to ensure your leader speaks your words. (Or at least that he speaks sensibly)

 

if a leader is adversely impacting on international politics, blame the electorate who's words he echos.... because... well... he's there because of them. Elect a mental midget, expect small things.

 

a robust political system, such as the Westminster system, usually has built in checks to avoid an elected officials over-reach (or to deal with it... e.g. May out/Boris in.)... so, in a flawed democracy, such as the US system, it's even more encumbant on the electors to vote wisely, as they can't control a representative, hell bent on his own agenda, post Election Day.

 

this is how your vote counts (or a vote anyway). Blame the king makers, as they empowered him.

 

 

Most international leaders, do not comment openly as has the current POTUS on several occasions bout their point of view, suitability or liking of other leaders or potential leaders.

Most keep their thoughts to themselves regarding other leaders, unless good reason to do otherwise.

Current POTUS makes a habit of publicly making personal approval and appraisal of others, showing lack of diplomacy and maturity. 

[jany123]

1 minute ago, RJRS1301 said:

 

Most international leaders, do not comment openly as has the current POTUS on several occasions bout their point of view, suitability or liking of other leaders or potential leaders.

Most keep their thoughts to themselves regarding other leaders, unless good reason to do otherwise.

Current POTUS makes a habit of publicly making personal approval and appraisal of others, showing lack of diplomacy and maturity. 

Indeed... as a representative of those United States... as a result of being elected as the representative of those United States... as a result of the electors decision, who empowered him to do so, when they cast their ballot to give him that prerogative.

 

"they" wanted to shake up politics... it was a conscious decision, and we are now stuck with that conscious decision. Every vote matters in more ways than one... if you empower a trump, expect "trumpism" to prevail. This includes an alarming lack of a lot of things.... but it's still the fault of the electors who gave him the podium of president (otherwise he'd still just be a bully businessman barking at the moon, and of no international consequence)

[Dumbastheycome]

9 hours ago, Sydebolle said:

I am a non-Italian European, Trump is American.

I have - quite right so - no voice nor say in Italy's domestic politics including what government Italy should have as I am - as said before - a non-Italian European.

Can someone explain me, why Trump (as well as all his predecessors) need to put their uncalled grain of salt to each and every subject anywhere on the planet.

They destroyed Indochina 50 years ago and lost, they completely messed up the Middle East and they've been doing everything possible to destroy Europe. What does it take to keep those "god's chosen people" big nose out of any soup which is not theirs - please? 

It  is  his  assigned  role and  the singular  reason  he  is   a pot.is

[joecoolfrog]

14 hours ago, RJRS1301 said:

Why does the POTUS have to stick his nose into other countries politics, especially when he causes so much division and derision within  his own country?

He is barely a politician, and is certainly no statesman

 

Because he is a whore , he bends over for anybody who speaks well of him or gives him money.