Italy's political crisis: why fresh elections loom
Analysts predict a snap vote later this year could serve as an unofficial referendum on EU membership

Voters in Italy are expected to head to the polls for a second time this year amid an escalating political crisis that could determine its future in the eurozone.
Prime minister-in-waiting Giuseppe Conte resigned on Sunday after President Sergio Mattarella vetoed the appointment of a eurosceptic cabinet minister, dashing an attempt to form a ruling coalition by two populist parties.
“Italy is no stranger to chaotic politics, government crises and revolving-door executives,” the Associated Press reports. “But recent developments were remarkable even by Italian standards.”
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What triggered the crisis?
Italy has been without a government since the general election in March ended in a hung parliament, with the Five Star party gaining the highest vote share but missing out on a majority.
The eurosceptic, anti-establishment and anti-immigrant party was seeking to establish a coalition with the far-right Lega (formerly the Northern League).
But Matterella’s decision to block Paolo Savona, an outspoken critic of the EU, from becoming finance minister led to Conte’s resignation and deepened the country’s political crisis yesterday.
The President has appointed ex-IMF economist Carlo Cottarelli as caretaker prime minister, angering both populist parties.
“Cottarelli will ask for a vote of confidence to govern long enough to approve a budget and push new elections to early 2019,” says Quartz. “If he doesn’t receive enough support, which is likely, new elections will be called after the summer.”
What happens next?
The Five Star party and the Lega have the power to block Cottarelli’s appointment and force a snap vote – and have promised to do so.
They have also accused the President of subverting Italian democracy and called for his impeachment.
“Why don't we just say that in this country it’s pointless that we vote, as the ratings agencies, financial lobbies decide the governments?” said Five Star leader Luigi Di Maio.
The BBC says early elections are “exactly what the two populist parties want, giving them a chance to rally support behind their claim that the Italian and the wider European establishments are getting in the way of the will of the people.”
Analysts also predict that the vote may serve as an unofficial referendum on Italy’s future membership of the EU.
“The election is going to resemble a referendum, de facto, on the European Union and the euro,” Francesco Galietti, head of political risk consultancy Policy Sonar in Rome, told Reuters. “It’s an existential threat for the entire euro zone.”
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