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15 May 2006

EZA 740 Briefing note:




Italy – Politics


10 May the Italian electoral assembly named socialist Senator Giorgio Napolitano as next President of the republic. Although the President is mainly a representative figure, the vote can be seen as a victory for Prodi on his way to form a centre-left government coalition. Assignment to Prodi by Napolitano is scheduled 22/23 May followed by a parliamentary vote on the new government. Fiscal consolidation will be a top priority for the new government; keeping the communists on board the major political challenge.

Asset conclusions: neutral, improved chances for government stability offset by concessions to the left on economic reforms.



© Graham Bishop

Documents associated with this article

EZA740.pdf


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