ROME—Italy’s antiestablishment 5 Star Movement and hard-right League party have reached an agreement on a government program, likely clearing the way for the formation of a governing coalition between Italy’s two largest antiestablishment parties.
The formation of a new government—which is expected in the coming days—between the two groups marks one of the biggest wins yet for the political insurgencies shaking Europe’s establishments.
Read: Italian bonds take a beating on expected ‘tail risk’ from populist government[1]
The two parties struck a deal Sunday evening on a pact that would underpin a government coalition between the two. Leaders of the two groups, however, are still negotiating the members of a government cabinet, including the prime minister. An announcement of those names should come early this week, according to weekend statements by leaders of both groups.
5 Star and League leaders are slated to meet Monday with Italian President Sergio Mattarella, whose responsibility it is to guide the formation of a new government.
The coalition must then win votes in both houses of parliament. The League and 5 Star together enjoy a comfortable majority in each house.
The coalition agreement includes measures such as a universal basic income for the unemployed, a rock-bottom flat tax and the revocation of a sweeping pension reform introduced in 2011.
https://www.wsj.com/articles/italys-5-star-league-reach-deal-on-government-program/[2]
An expanded version of this report appears at WSJ.com[3].
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References
- ^ Italian bonds take a beating on expected ‘tail risk’ from populist government (www.marketwatch.com)
- ^ https://www.wsj.com/articles/italys-5-star-league-reach-deal-on-government-program/ (www.wsj.com)
- ^ An expanded version of this report appears at WSJ.com (www.wsj.com)
- ^ Why doesn’t your husband want to have sex? (www.wsj.com)
- ^ Tesla executive leaves for Alphabet self-driving-car unit Waymo (www.wsj.com)