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| Italy’s Prime Minister, Giuseppe Conte, Resigns, Turning Chaos Into Uncertainty | Italy’s Prime Minister, Giuseppe Conte, Resigns, Turning Chaos Into Uncertainty |
| (about 2 hours later) | |
| ROME — Italy’s nationalist government collapsed on Tuesday as the country’s prime minister announced his resignation in the face of a mutinous power play by the hard-line and increasingly popular interior minister, Matteo Salvini. | |
| “The interior minister followed personal and party interests,” by calling for elections and pulling his support from the government, said Prime Minister Giuseppe Conte as he addressed an extraordinary session of Parliament that interrupted the usually sacrosanct Italian summer recess. | “The interior minister followed personal and party interests,” by calling for elections and pulling his support from the government, said Prime Minister Giuseppe Conte as he addressed an extraordinary session of Parliament that interrupted the usually sacrosanct Italian summer recess. |
| With Mr. Salvini seated beside him with raised chin, Mr. Conte took aim, accusing him of “political opportunism,” disregard for Italy’s institutions and thrusting the country into a “vortex of political uncertainty and financial instability.” | With Mr. Salvini seated beside him with raised chin, Mr. Conte took aim, accusing him of “political opportunism,” disregard for Italy’s institutions and thrusting the country into a “vortex of political uncertainty and financial instability.” |
| Circumventing a confidence vote that Mr. Salvini had promoted, Mr. Conte said he would go to the Quirinal Hill and tender his resignation to Italy’s president, Sergio Mattarella. | Circumventing a confidence vote that Mr. Salvini had promoted, Mr. Conte said he would go to the Quirinal Hill and tender his resignation to Italy’s president, Sergio Mattarella. |
| Mr. Salvini responded, saying that he would do everything the same again and did not fear the judgment of the Italians, unlike others in the Parliament who were simply frightened that elections would lead them to lose their jobs. “We aren’t scared,” he said. | Mr. Salvini responded, saying that he would do everything the same again and did not fear the judgment of the Italians, unlike others in the Parliament who were simply frightened that elections would lead them to lose their jobs. “We aren’t scared,” he said. |
| Mr. Mattarella will now begin the process of consulting with party leaders to see if a new majority can form yet another Italian government. If not, he is likely to call for early elections, potentially as soon as October. | Mr. Mattarella will now begin the process of consulting with party leaders to see if a new majority can form yet another Italian government. If not, he is likely to call for early elections, potentially as soon as October. |
| The demise of the coalition between the hard-right, anti-migrant League party, led by Mr. Salvini, and the anti-establishment Five Star Movement thrust Italy into a renewed period of crisis and political chaos only 445 days after the unlikely partners took power. | The demise of the coalition between the hard-right, anti-migrant League party, led by Mr. Salvini, and the anti-establishment Five Star Movement thrust Italy into a renewed period of crisis and political chaos only 445 days after the unlikely partners took power. |
| During the government’s short tenure, the nationalist-populist coalition struck fear into the heart of the European establishment, with its antagonism toward the European Union, its flouting of the bloc’s budgetary laws, its demonization of migrants, and its embrace of President Vladimir V. Putin’s Russia and his strongman politics. | During the government’s short tenure, the nationalist-populist coalition struck fear into the heart of the European establishment, with its antagonism toward the European Union, its flouting of the bloc’s budgetary laws, its demonization of migrants, and its embrace of President Vladimir V. Putin’s Russia and his strongman politics. |
| While expressing regret that the government could not continue to compile achievements, which its critics consider all but nonexistent, Mr. Conte vented his anger at Mr. Salvini. | While expressing regret that the government could not continue to compile achievements, which its critics consider all but nonexistent, Mr. Conte vented his anger at Mr. Salvini. |
| With the leader of the Five Star Movement, Luigi Di Maio, hardly able to suppress his glee as he sat on Mr. Conte’s left, the prime minister accused Mr. Salvini of exploiting Catholic symbols on the campaign trail and of failing to answer accusations that his League party had secretly sought funding from Russia. | With the leader of the Five Star Movement, Luigi Di Maio, hardly able to suppress his glee as he sat on Mr. Conte’s left, the prime minister accused Mr. Salvini of exploiting Catholic symbols on the campaign trail and of failing to answer accusations that his League party had secretly sought funding from Russia. |
| He questioned Mr. Salvini’s failure to leave the government despite expressing his lack of confidence in it. | He questioned Mr. Salvini’s failure to leave the government despite expressing his lack of confidence in it. |
| “Dear Matteo, pushing this crisis you have assumed a great responsibility,” Mr. Conte said, adding that he “was worried” by Mr. Salvini’s request for full powers and for his supporters to fill the country’s squares in protest. | “Dear Matteo, pushing this crisis you have assumed a great responsibility,” Mr. Conte said, adding that he “was worried” by Mr. Salvini’s request for full powers and for his supporters to fill the country’s squares in protest. |
| Mr. Salvini and his Five Star counterpart, Mr. Di Maio, turned the country into a social media reality show, incessantly speechifying and bickering via Facebook Live or Twitter over their opposite positions on infrastructure projects, taxes, regional autonomy and even beach holidays. | Mr. Salvini and his Five Star counterpart, Mr. Di Maio, turned the country into a social media reality show, incessantly speechifying and bickering via Facebook Live or Twitter over their opposite positions on infrastructure projects, taxes, regional autonomy and even beach holidays. |
| In the meantime, the country became isolated in Europe and its financial situation darkened. | In the meantime, the country became isolated in Europe and its financial situation darkened. |
| Growth hovered around 0 percent and the government proved paralyzed or ineffectual in the face of dizzying youth unemployment and public debt of more than 2 trillion euros — about $2.2 trillion, more than 130 percent of Italy’s annual economic output. The yield spread between Italian and German 10-year benchmark bonds, considered a metric of risk for investment in Italy, has stayed high through much of their tenure. | Growth hovered around 0 percent and the government proved paralyzed or ineffectual in the face of dizzying youth unemployment and public debt of more than 2 trillion euros — about $2.2 trillion, more than 130 percent of Italy’s annual economic output. The yield spread between Italian and German 10-year benchmark bonds, considered a metric of risk for investment in Italy, has stayed high through much of their tenure. |
| But any relief expressed by critics of the government could be short lived. | But any relief expressed by critics of the government could be short lived. |
| If Mr. Salvini does get the election he so craves, and if he performs as well as polls suggest, he could consolidate his grip on power and cement his reputation as the most powerful — and for critics, destructive — nationalist leader in Europe. | If Mr. Salvini does get the election he so craves, and if he performs as well as polls suggest, he could consolidate his grip on power and cement his reputation as the most powerful — and for critics, destructive — nationalist leader in Europe. |
| It is with that goal of elections in mind that Mr. Salvini, and not the opposition, called for a no-confidence vote in the government. | It is with that goal of elections in mind that Mr. Salvini, and not the opposition, called for a no-confidence vote in the government. |
| Over the last year, Mr. Salvini’s popularity has doubled to nearly 40 percent, considered a ceiling in Italy’s fragmented politics, as he has consistently outflanked and embarrassed the inexperienced, and often incompetent, Five Star Movement. | Over the last year, Mr. Salvini’s popularity has doubled to nearly 40 percent, considered a ceiling in Italy’s fragmented politics, as he has consistently outflanked and embarrassed the inexperienced, and often incompetent, Five Star Movement. |
| Five Star’s support halved, making elections perilous for its members’ continued employment in Parliament. This month Mr. Salvini used the government’s paralysis on infrastructure projects as a rationale to announce the death of the government — “the majority is no more,” he said — as he called for new elections. “Let’s hear from the voters, quickly,” he said. | Five Star’s support halved, making elections perilous for its members’ continued employment in Parliament. This month Mr. Salvini used the government’s paralysis on infrastructure projects as a rationale to announce the death of the government — “the majority is no more,” he said — as he called for new elections. “Let’s hear from the voters, quickly,” he said. |
| But for the usually politically adroit Mr. Salvini, it turned out to be a rare, and potentially costly, misstep. For all his public support, Parliament amounted to a parallel universe where endangered and defunct forces still held sway. | But for the usually politically adroit Mr. Salvini, it turned out to be a rare, and potentially costly, misstep. For all his public support, Parliament amounted to a parallel universe where endangered and defunct forces still held sway. |
| The Five Star Movement, feeling betrayed by Mr. Salvini and dreading elections that would likely send many of its members of Parliament packing, has made itself open to an alliance with the Democratic Party. But whether they can overcome their mutual animosity and differences to form a majority is anyone’s guess. | The Five Star Movement, feeling betrayed by Mr. Salvini and dreading elections that would likely send many of its members of Parliament packing, has made itself open to an alliance with the Democratic Party. But whether they can overcome their mutual animosity and differences to form a majority is anyone’s guess. |
| For years, Mr. Di Maio and former Prime Minister Matteo Renzi, still a power broker inside the Democratic Party, have been sworn enemies. Now, however, they may find common cause in avoiding new elections, staying in Parliament and depriving Mr. Salvini of his power and campaign-friendly perch as interior minister. | For years, Mr. Di Maio and former Prime Minister Matteo Renzi, still a power broker inside the Democratic Party, have been sworn enemies. Now, however, they may find common cause in avoiding new elections, staying in Parliament and depriving Mr. Salvini of his power and campaign-friendly perch as interior minister. |
| Mr. Salvini — who had triggered the crisis by calling for a confidence vote against Mr. Conte — seemed to realize that early elections may not be in the offing, and spent the last days backtracking and expressing his willingness to support Mr. Conte in the hopes that the government he tried to collapse would instead stand, and with him in it. | Mr. Salvini — who had triggered the crisis by calling for a confidence vote against Mr. Conte — seemed to realize that early elections may not be in the offing, and spent the last days backtracking and expressing his willingness to support Mr. Conte in the hopes that the government he tried to collapse would instead stand, and with him in it. |
| In a dramatic reversal, Italy’s most popular, and now chastened, politician was reduced to trying to make up with the Five Star Movement to avoid the crisis. Instead of becoming prime minister himself, speculation in Rome focused on him supporting, as a peace offering, Mr. Di Maio as prime minister. | In a dramatic reversal, Italy’s most popular, and now chastened, politician was reduced to trying to make up with the Five Star Movement to avoid the crisis. Instead of becoming prime minister himself, speculation in Rome focused on him supporting, as a peace offering, Mr. Di Maio as prime minister. |
| On Tuesday, Mr. Conte did not even give him the chance and resigned before the no confidence vote. | On Tuesday, Mr. Conte did not even give him the chance and resigned before the no confidence vote. |
| The Five Star Movement, with which the nominally independent Mr. Conte is much more closely associated, instead wanted to end the relationship with the League. | The Five Star Movement, with which the nominally independent Mr. Conte is much more closely associated, instead wanted to end the relationship with the League. |
| The Democratic Party’s Mr. Renzi, who had spent the last years vowing never to join forces with Five Star, accusing it of spreading hate, misinformation and a dangerous anti-expertise ethos, changed his tune dramatically. For him, an alliance with Five Star may now provide an oxygen tank for a remarkable political resuscitation. | The Democratic Party’s Mr. Renzi, who had spent the last years vowing never to join forces with Five Star, accusing it of spreading hate, misinformation and a dangerous anti-expertise ethos, changed his tune dramatically. For him, an alliance with Five Star may now provide an oxygen tank for a remarkable political resuscitation. |
| Mr. Renzi wasn’t the only Italian political figure reanimated by the crisis. It also jolted energy into the moribund Forza Italia party of former Prime Minister Silvio Berlusconi. | Mr. Renzi wasn’t the only Italian political figure reanimated by the crisis. It also jolted energy into the moribund Forza Italia party of former Prime Minister Silvio Berlusconi. |
| Eager to avoid elections that would erase their representation in Parliament, the party is considering lending support to a Five Star and Democratic Party government with a more Forza Italia-friendly prime minister. | Eager to avoid elections that would erase their representation in Parliament, the party is considering lending support to a Five Star and Democratic Party government with a more Forza Italia-friendly prime minister. |
| To the chagrin of Mr. Salvini, Mr. Mattarella, the head of state who is imbued with enormous powers during a government crisis, also had his motives for avoiding early elections, which the Italian Constitution says should be a last resort. | To the chagrin of Mr. Salvini, Mr. Mattarella, the head of state who is imbued with enormous powers during a government crisis, also had his motives for avoiding early elections, which the Italian Constitution says should be a last resort. |
| If Italy doesn’t approve budget cuts to balance out its expensive programs and extraordinary debt by Dec. 31, a financial safeguard mechanism will automatically raise value added tax on all purchases, devastating the spending power of Italian families. | If Italy doesn’t approve budget cuts to balance out its expensive programs and extraordinary debt by Dec. 31, a financial safeguard mechanism will automatically raise value added tax on all purchases, devastating the spending power of Italian families. |
| If no new political majority forms, Mr. Mattarella can appeal to Parliament’s institutional powers, including the speakers of both houses, to try and form a government that can survive a confidence vote. | If no new political majority forms, Mr. Mattarella can appeal to Parliament’s institutional powers, including the speakers of both houses, to try and form a government that can survive a confidence vote. |
| If such a government emerges, it would be empowered to pass a budget to avoid the tax hike. Another option is that Mr. Mattarella empowers a technical government of nonpartisan experts, which, once validated by a confidence vote, would also have the ability to pass a budget and govern. | If such a government emerges, it would be empowered to pass a budget to avoid the tax hike. Another option is that Mr. Mattarella empowers a technical government of nonpartisan experts, which, once validated by a confidence vote, would also have the ability to pass a budget and govern. |
| If those options proved impossible, Mr. Mattarella could install a time-limited government to shepherd Italy through early elections, most likely in October or November, which would not have the time or latitude to prevent the tax hike. | If those options proved impossible, Mr. Mattarella could install a time-limited government to shepherd Italy through early elections, most likely in October or November, which would not have the time or latitude to prevent the tax hike. |
| In the meantime, Italy, already struggling financially with decreased influence abroad, finds itself in a mess of its own making. | In the meantime, Italy, already struggling financially with decreased influence abroad, finds itself in a mess of its own making. |