Italy elected its first female prime minister, Giorgia Meloni, marking a new beginning and the most right-wing government since World War II. Now Italy is set for a change.
History has just been made
The new Prime Minister of Italy.
— Aaron Ginn (@aginnt) September 26, 2022
Meloni began her political career in the 1990s as a far-right activist, and her campaigning is now characterized by vehement criticism of the European Union, immigrants, and LGBTQ communities. Her time comes now as Giorgia Meloni won the majority of votes in Sunday’s election in Italy, making her the first female prime minister of Italy.
According to the model generated by RAI, the state broadcaster, her alliance, which also included Matteo Salvini’s League and Silvio Berlusconi’s Forza Italia, received roughly 43% of the vote.
That would give the group at least 114 seats in the Senate, where a majority of 104 votes is needed. After leading the opposition to Mario Draghi’s technocratic rule, which stabilized the nation over the previous 18 months following the horror of the pandemic, Meloni rose to prominence in politics.
Potential troubles ahead
The charming 45-year-old, however, has little experience in leadership, and she would assume government at a dangerous time for her nation. The energy shortages brought on by Russia’s invasion of Ukraine will fuel runaway inflation and threaten GDP, putting the next Italian administration in the middle of a number of overlapping problems. The energy crisis may cool down in the long term, but at present, it is still ongoing.
Also read: GBP/USD crashes to all-time lows, touches 1.04
The yield on Italy’s 10-year bonds has increased from less than 1% in December to more than 4.3% as a result of the blow to Italy’s budget and the possibility of future interest rate increases from the European Central Bank. And ECB just started raising interest rates, so there might be more pain ahead.
President Sergio Mattarella will meet with party leaders as the next step in the constitutional process before virtually definitely appointing Meloni to form the next government. Still, the process can take many weeks, and no radical changes are expected right away. On October 13th, the newly constituted 200 senatorial and 400 lower house legislators will meet for the first time.
Now the question remains whether Meloni will keep Draghi’s reform plan or deviate from it. This has the power to impact the EU because money could start flowing out of it. Meloni is likely to roll back some of the policies Draghi had implemented in an effort to support the economy.
Read more: Higher interest rates hurt crude oil
A spending plan for roughly 200 billion euros in pandemic recovery funding from the European Union could be jeopardized if considerable adjustments are sought. The first female prime minister with extreme right-wing oriented opinions could bring drastic changes to Italy.
Post has no comment yet.