Tag Archives: centre party

Who is Juha Sipilä? The man who wants to become CEO of Finland, Inc.

sipila

If the voters of Finland elect challenger Juha Sipilä as its next prime minister, the former telecommunications minister will have the iPhone to thank.finland flag

That’s because the Finnish economy was in recession in 2012 and 2013, and it registered only tepid growth last year. In part, it’s due to Nokia’s loss of market share. Once a synonym for state-of-the-art technology in mobile phones, the exponential rise of the iPhone in the past eight years left the Finnish champion reeling for new areas of growth and shedding jobs near the Finnish capital of Helsinki.

Notwithstanding plans for Nokia to merge with French telecoms equipment provider Alcatel announced last week, Nokia’s global dominance in mobile smartphones collapsed over the course of the four-year government of the center-right, liberal Kansallinen Kokoomus (National Coalition Party) while Samsung and Apple increasingly pushed Nokia out of the market. Nokia ultimately sold it devices and services business to Microsoft in 2013. Simultaneous woes have afflicted Finland’s once-thriving timber market.

So it’s not surprising that voters are poised to elect Sipilä as their next prime minister, a former telecommunications executive who aims to run Finland like a private-sector company.

There’s a sense that voters also want to punish the National Coalition. Even former prime minister Jyrki Katainen appeared to sense that when he stepped down last spring to take a position at the European Commission, where he currently serves as the Commission’s vice president for jobs, growth, investment and competitiveness. Katainen left it to his former European affairs minister, Alexander Stubb, to lead his party into the March 19 elections. Polls suggest that has become increasingly difficult over the course of the past 10 months since Stubb assumed the premiership.

A victory for Sipilä would return the Suomen Keskusta (Centre Party) back to power after a four-year hiatus in opposition. Sipilä came to politics only recently, elected for the first time in 2011 to the Eduskunta, Finland’s 200-member unicameral parliament after a successful career in the telecommunications  industry.  Continue reading Who is Juha Sipilä? The man who wants to become CEO of Finland, Inc.

Estonian election results: Reform Party wins third term

roivas

Estonia’s parliamentary election proves what is becoming a nearly iron-clad thesis about Baltic politics: so long as social democratic parties in the Baltic States nurture ties with Moscow and pitch themselves to the narrow pool of ethnic Russian voters, centrist and center-right governments will continue to win elections and govern.estonia

So it was in Estonia on March 1, as it became clear that the center-right Eesti Reformierakond (Estonian Reform Party) would win its third consecutive national election, the first under its 35-year-old prime minister Taavi Rõivas (pictured above in Ukraine last year), who is expected to continue leading Estonia’s government.

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RELATED: Russian threat dominates Estonian election campaign

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Despite polls that showed that the center-left Eesti Keskerakond (Estonian Centre Party), led by former prime minister and Tallinn mayor Edgar Savisaar might emerge as the leading party, Reform bested the Centre Party by nearly 3%.

Nevertheless, both the Reform Party and its junior partner in government, the Sotsiaaldemokraatlik Erakond (Social Democratic Party), lost some ground — the two parties will, in aggregate, lose seven seats and six short of an absolute majority in the Riigikogu, Estonia’s 101-member unicameral parliament.

Estonia 2015 Riigikogu 2015

Luckily for Rõivas and the Reform Party, there are two new parties in the Estonian parliament, and one of them is a strong fit for a three-party coalition. The liberal Eesti Vabaerakond (Free Party), founded last September by Andres Herkel, an Estonian intellectual, could easily find common ground with Reform. Continue reading Estonian election results: Reform Party wins third term

Russian threat dominates Estonian election campaign

roivas

With the world’s attention on a political assassination in Moscow, voters in the former Soviet republic of Estonia go to the polls tomorrow, March 1, with the threat of Russian aggression looming on its eastern border. estonia

Three days ago, US troops, as part of NATO exercises, paraded in Narva, one of Estonia’s largest cities, resting on the Russian border, and Russian troops reciprocated with a similar show. Though it felt like a Cold War throwback, the demonstration highlights just how seriously Estonia, a member of NATO since 2004, and other NATO allies are taking the possibility of a Russian incursion in the Baltics.

Under that tense penumbra, voters will elect all 101 members of Estonia’s parliament, the Riigikogu, where the center-right  Eesti Reformierakond (Estonian Reform Party) currently controls the largest bloc of seats and governs in coalition with the centrist Sotsiaaldemokraatlik Erakond (Social Democratic Party).

Riigikogu

Some polls show, however, that the center-left Eesti Keskerakond (Estonian Centre Party) narrowly leads the Reform Party, with the Social Democrats and the conservative opposition party, Isamaa ja Res Publica Liit (IRL, Pro Patria and Res Publica Union), trailing close by in third and fourth place.

It’s the first time that Estonia’s youthful new prime minister Taavi Rõivas (pictured above) will lead the Reform Party into an election. When longtime prime minister Andrus Ansip stepped down in March 2014 after nine years in office, the idea was that he would switch jobs with former Reform Party leader, prime minister and European commissioner Siim Kallas. That worked out for Ansip, who’s now Estonia’s representative to the European Commission with a ‘super-portfolio’ for the digital single market.

Kallas, however, was tripped up by a scandal dating to his days as Estonia’s central bank president in the 1990s, and he stepped out of consideration for the premiership. Other heavy hitters like former foreign minister Urmas Paet also demurred.  That meant that the challenge fell to the 35-year-old Rõivas, whose government experience included just two years as social affairs minister. Married to pop singer Luisa Värk, Rõivas has been a member of the Estonian parliament since 2007 and is generally seen as close to Ansip.

The Centre Party’s leader, Tallinn mayor Edgar Savisaar, is nearly three decades older, and he served briefly from 1991 to 1992 as Estonia’s first independent prime minister. During the campaign, he’s made much of Rõivas’s relative inexperience. Continue reading Russian threat dominates Estonian election campaign

Löfven not to blame for (probable) early Swedish elections

loefven

If you lose a budget vote three years into your mandate, the problem’s probably with you.Sweden

If you lose a budget vote on the two-month anniversary of taking office, and less than three months after winning a general election, the problem’s probably not.

So it goes in Sweden, where voters will head to the polls on March 22 after the government lost a tough budget vote.

It wasn’t entirely unpredictable that prime minister Stefan Löfven (pictured above with Hillary Clinton) would fail to pass his first budget because of the odd dynamics of Swedish politics after September’s general election, which broke the Riksdag, Sweden’s unicameral parliament, into three blocs: Continue reading Löfven not to blame for (probable) early Swedish elections

Swedish election results: Löfven’s dream liberal-left government

lofvenwins

Stefan Löfven should have savored Sunday night — as Sweden’s election results came in, his center-left Sveriges socialdemokratiska arbetareparti (Swedish Social Democratic Party) emerged as the top vote-winner by an 8% margin, and Löfven is the overwhelming favorite to become Sweden’s next prime minister.Sweden

Monday morning was a different story.

Despite winning the election, the Social Democrats won just 31.2% of the vote, a relatively low total for the party that dominated Swedish government throughout much of the 20th century. In the last two elections, in 2006 and 2010, when outgoing prime minister Frederik Reinfeldt routed the Social Democrats, the party still won 35.0% and 30.7%, respectively.

The last time they won an election, under Göran Persson in 2002, the Social Democrats won 39.9% of the vote. The results from September 14, however, leave Löfven (pictured above) with just 113 seats in the 349-member Riksdag, Sweden’s unicameral parliament.

sweden 2014If the big loser of the election was Reinfeldt’s center-right Moderata samlingspartiet (Moderate Party), which lost 23 seats, the big winner was the far-right, anti-immigrant Sverigedemokraterna (SD, Sweden Democrats), which gained 29 seats on a platform of limiting Sweden’s generous asylum policy that in 2014 is expected to welcome more than 100,000 refugees to the country, many from war-torn Syria and Iraq. It’s a point of pride for Reinfeldt, presumably, that he spent much of the campaign extolling the compassionate values of his government, even if those costs limited his ability to promise greater welfare spending.

The rest of Sweden’s parties all made relatively small gains or losses — no other party gained or lost more than five seats in total.

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RELATED: Swedish far-right could inadvertently deliver
3rd term to Reinfeldt

RELATED
: One month out, Löfven and Social Democrats lead in Sweden

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Those dynamics, however, leave Löfven in an unenviable position. Though the Sweden Democrats have clearly made the greatest gains in this election, neither the Reinfeldt-led center-right nor the Löfven center-left are willing to bring the anti-immigrant party into government, despite the efforts of its boyish leader, Jimmie Åkesson, to moderate the party’s harder nationalist (and sometimes neo-nazi and xenophobic) edges. One marvels to wonder his well his party might have done had it not been dogged by scandals that forced eight candidates out of the race after news outlets revealed their racist online commentary.

A hung parliament — and no majority for Sweden’s left

But that’s left the Riksdag without a clear majority. After the 2010 elections, the Moderates and their three allies, which together constitute the Alliansen, formed a minority government with 172 seats. Unofficially, the Swedish Democrats often delivered enough votes for Reinfeldt to fill the three-vote gap that his government needed. Löfven cannot count on the unofficial support of Åkesson’s right-wingers. Moreover, after the stunning results for the Sweden Democrats, there are now 49 seats, not 20, that are politically untouchable.

Löfven’s most natural allies, the Miljöpartiet (Green Party), actually lost a seat, falling to 21 seats. Together, with 134 seats, that leaves the Red-Green coalition 41 seats short of a majority.

riksdag2014

Continue reading Swedish election results: Löfven’s dream liberal-left government

Swedish far-right could inadvertently deliver 3rd term to Reinfeldt

reinfeldt

When Swedes finish voting on Sunday in general election, they might find that, to their astonishment, the only party with the seats to deliver a majority coalition is the one that both the right and left have treated as politically radioactive for years.Sweden

In the final days of the campaign, the race has tightened between the four-party center-right alliance headed by two-term prime minister Frederik Reinfeldt (pictured above) and the loose confederation of social democrats, greens and socialists that would rally behind Stefan Löfven, the former labor union leader who now heads Sweden’s center-left Sveriges socialdemokratiska arbetareparti (Swedish Social Democratic Party), which essentially created the Swedish social welfare state in the 20th century.

If the results are close, it could leave the balance of power in the hands of the far-right, anti-immigrant Sverigedemokraterna (SD, Sweden Democrats), even though the party entered the final week of the campaign crippled after news reports revealed racist online commentary of several of the party’s candidates.

Though Löfven’s Social Democrats (and the left, generally) have held a polling lead for much of the the past year, a September 1-4 Sifo poll from showed the left’s generic lead falling to less than 4.9%. A more recent September 8-9 Sifo survey showed the left recovering a greater margin of 7.8%. But up to one-third of the Swedish electorate may still be undecided going into the election on Sunday, making predictions difficult.

Despite Löfven’s lead, many voters approve of Reinfeldt’s performance over the past eight years, most especially as his record relates to the Swedish economy. Sweden has emerged from both the 2008-09 global financial crisis and the 2010-12 eurozone crisis with stronger economic growth than much of the rest of the European Union. While unemployment is still probably too high at around 8%, the rate is slowly declining. But Swedes don’t dislike Reinfeldt. It’s that that Swedes are ready for a change, and Löfven’s moderate social democratic approach would bring more continuity than rupture.

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RELATED: One month out, Löfven and Social Democrats lead in Sweden

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Though the two Sifo polls this month showed support for the Sweden Democrats dropping from 10.4% to 8.9%, even a ‘poor’ showing would eclipse their previous high point in the 2010 election, when they won 5.7% of the vote. The 2010 breakthrough was a watershed moment for Sweden’s far right — much to the dismay of the rest of the political spectrum. Suddenly, a far-right party that had never held any seats in the Riksdag, Sweden’s parliament, now held 20.

So even if the Sweden Democrats under-perform in the 2014 election (they won around 9.7% in the May European elections), they could still hold a large enough bloc of seats to deny either the Reinfeldt-led right or the Löfven-led left a majority.

Though the current center-right government has only a minority in the Riksdag, it has often unofficially leaned on the Sweden Democrats for support, though it’s also turned to the Miljöpartiet (Green Party) as necessary on issues like refugees and asylum.

Continue reading Swedish far-right could inadvertently deliver 3rd term to Reinfeldt

One month out, Löfven and Social Democrats lead in Sweden

Löfven

Voters go to the polls in Scandinavia’s largest country on September 14, and if he can hold onto the lead that his party has enjoyed for over a year, former labor leader Stefan Löfven (pictured above) will become Sweden’s next prime minister. Sweden

That’s slightly surprising because most Swedes don’t necessarily give center-right prime minister Frederik Reinfeldt poor marks. In two terms, Reinfeldt has earned praise, domestically and abroad, for his government’s economic stewardship, bringing Sweden out of the 2008-09 financial crisis with some of the strongest growth in the European Union. In that time, Reinfeldt has reduced the size of Sweden’s public sector, while nevertheless retaining the character of his country’s renowned social welfare state.

Reinfeldt’s governments amassed an impressive series of legislative accomplishments over the past eight years. Under his watch, Sweden privatized several public interests, including the maker of Absolut vodka, and otherwise deregulated the pharmaceutical, telecommunications and energy industries. Reinfeldt introduced the  earned income tax credit to reduce taxes on the poorest Swedes while instituting a series of tax cuts, including the abolition of the wealth tax in 2007 and a reduction in the VAT rate on restaurants from 25% to 12%. His government also passed a law to permit same-sex marriage in 2009 with wide support from the opposition.

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In his government’s second term, Reinfeldt avoided the recession that otherwise afflicted much of the rest of the eurozone. Though Reinfeldt and his finance minister, Anders Borg (pictured above, right, with Reinfeldt, left), have resorted to deficit spending to boost Sweden’s economy, their budget deficits haven’t fallen much below 1% of GDP. That’s a much better fiscal record than the average eurozone member, and it’s kept Swedish public debt at the relatively low level of around 40% of Swedish GDP.

It’s arguable that by reforming, privatizing or abolishing the least efficient areas of the Swedish public sector, Reinfeldt’s governments updated for the 21st century the existing welfare state that the long-dominant Sveriges socialdemokratiska arbetareparti (Swedish Social Democratic Party) built in the 20th century. Continue reading One month out, Löfven and Social Democrats lead in Sweden

Katainen hopes to trade Finland’s premiership for EU presidency

jyrki

Just three years after taking power as Finland’s prime minister, Jykri Katainen is set to step down both as leader of Finland’s center-right Kansallinen Kokoomus (National Coalition Party) and as prime minister later this month, following the Saturday leadership election of Alexander Stubb as the party’s new leader. finland flag

Though Katainen (pictured above) is just 42 years old, he’s been at the helm of the National Coalition Party for a decade. Katainen stunned Finland in April when he announced he was resigning, with an eye toward pursuing a top job in the European Union. At the time, everyone assumed he was angling to become Finland’s next commissioner within the European Union, replacing Olli Rehn, the influential vice president of the Commission and, since 2010, the commissioner for economic and monetary affairs.

Rehn previously served from 2004 to 2010 as commissioner for enlargement, and he was recently elected to the European Parliament as a member of Finland’s liberal Suomen Keskusta (Centre Party).

But as the wrangling continues among Europe’s leaders over whether former Luxembourgish prime minister Jean-Claude Juncker should become the next president of the Commission, Katainen has tried to position himself as an attractive alternative.

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RELATED: The mother-of-all-battles over European integration has begun

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Juncker seems likely to command an absolute majority of the European Parliament, but there’s no sure bet that he’ll win the qualified majority within the European Council that he’ll need to win the Commission presidency. Juncker, led the pan-European campaign of the European People’s Party (EPP) in the May parliamentary elections, which won the largest number of seats in the 751-member legislature.

Enter Katainen, who’s guided a tenuous six-party (now five-party) coalition in Finland for the past three years, pushing through tough budget cuts, like so many other European governments over the last half-decade, in the face of economic recession. Before his National Coalition Party won the April 2011 national elections, Katainen previously served as finance minister and deputy prime minister, so he would bring to the job — or to any other top EU position — the experiences from governing through the eurozone sovereign debt crisis.  Continue reading Katainen hopes to trade Finland’s premiership for EU presidency

Who is Taavi Rõivas? A look at Estonia’s likely new prime minister

taavi

Last week, when Estonia’s nine-year prime minister Andrus Ansip stepped down, virtually everyone thought that Estonia’s European commissioner Siim Kallas (himself, briefly, a former prime minister) would step into Ansip’s shoes as the Eesti Reformierakond (Estonian Reform Party) prepares to put itself on a stronger footing for expected March 2015 elections.estonia

After all, Kallas helped found the Reform Party in the mid-1990s, served as a highly regarded president of Estonia’s central bank in the early 1990s, and held several posts in government before leaving for Brussels in 2004, where he’s amassed plenty of additional experience — as a vice president of the European Commission since 2010.

Instead, Kallas faced renewed controversy over $100 million in loan guarantees that he signed while central bank governor in 1994.  Moreover, the concept that Kallas could wage a shadow campaign for prime minister while still officially a member of the European Commission ruffled feathers in both Tallinn and Brussels — even more so in light of open rumors that Kallas and Ansip would simply trade jobs, with Ansip stepping into Kallas’s shoes at the Commission.

Kallas formally ruled out a return as prime minister on Wednesday, and the Reform party nominated instead Taavi Rõivas (pictured above), social affairs minister since just December 2012.  At age 34, he would be the youngest head of government in Europe, and notably, the first Estonian leader who was just a child when the Soviet Union collapsed — Estonia won its independence just five days short of Rõivas’s 12th birthday. Continue reading Who is Taavi Rõivas? A look at Estonia’s likely new prime minister

Considering Andrus Ansip’s legacy in Estonia

ansi

Earlier this week, Estonia’s prime minister Andrus Ansip stepped down after nine years leading the tiny Baltic country of just 1.3 million.estonia

His departure brings even more change to the Baltic states — Laimdota Straujuma became Latvia’s new prime minister in January following the resignation of Valdis Dombrovskis over the collapse of a supermarket roof near Riga, the Latvian capital, that killed 54 people.

Ansip and Dombrovskis share a lot in common, both in terms of politics and the policy trajectories of their governments.

Like Ansip, Dombrovskis stepped down having presided over difficult economic reforms that stabilized their country’s respective credit ratings and credibility with global debt markets and that helped unleash economic growth after the immediate downturn of the global economic crisis and the European debt crisis.  Both prime ministers, uncharacteristically, won reelection in the middle of implementing some fairly hefty budget cuts (enough to lower Estonian public debt to just 5.7% of GDP as of 2012) — Ansip most recently in the March 2011 elections, when Reform actually gained two seats (for a total of 33) in the 101-member Riigikogu, the Estonian parliament.

Ansip ushered his country into the eurozone in 2011, the first of the Baltic states to do so, and Dombrovskis’s government followed, with Latvia acceding to the eurozone on January 1 of this year.

Just as Latvia’s governing center-right Vienotība (Unity) faces a difficult election in October later this year, Ansip’s own center-right Eesti Reformierakond (Estonian Reform Party) faces a similarly difficult challenge in elections expected to take place in March 2015.  Continue reading Considering Andrus Ansip’s legacy in Estonia

Despite the success of pro-EU parties in Norway, don’t expect EU membership anytime soon

EUnoray

One of the odder results of this week’s Norwegian election is that while it boosted the numbers of seats for the two parties that are most in favor of membership in the European Union, Norway is today less likely than ever to seek EU membership.European_Unionnorway

Together, the center-left Arbeiderpartiet (Labour Party) and the center-right Høyre (the Conservative Party) will hold 103 seats as the largest and second-largest parties, respectively, in the Storting, Norway’s 169-member parliament — that’s a larger number of cumulative seats than the two pro-European parties have won since the 1985 election.

But EU membership is firmly not on the agenda of Norway’s likely new prime minister, Erna Solberg, just like it wasn’t on the agenda of outgoing  prime minister Jens Stoltenberg during his eight years in government.

One of the obvious reasons is that EU membership is massively unpopular among Norwegians — an August poll found that 70% oppose membership to just 19% who support it.

Proponents of EU membership argue that because Norway is part of Europe’s internal market, it is already subject to many of the European Union’s rules. (Norway is also a member of the Schengen free-travel zone that has largely eliminated national border controls within Europe)  But until Norway is a member of the European Union, it has absolutely no input on the content of those rules.  Stoltenberg (pictured above left with European Council president Herman Van Rompuy) has called the result ‘fax diplomacy,’ with Norwegian legislators forced to wait for instructions from Brussels in the form of the latest directive.

Since 1994, when Norwegians narrowly rejected EU membership in a referendum, Norway has been a member of the European Economic Area (EEA), an agreement among the EU countries, Norway, Iceland and Liechtenstein that allows Norway and the other non-EU countries access to the European single market.

Opponents argue that Norway, with just 5 million people, would have a negligible input in a union that now encompasses 28 countries and nearly 508 million people.  They also argue that with one of Europe’s wealthiest economies, Norway would be forced to contribute part of its oil largesse to shore up the shakier economies of southern and eastern Europe.  There are also sovereignty considerations for a country that didn’t win its independence from Sweden until 1905 — and then suffered German occupation from 1940 to 1945.  Though Norwegians also often cite the desire to keep their rich north Atlantic fisheries free of EU competition, Norway already has a special arrangement with the European Union on fisheries and agriculture, and it’s likely that it would continue to have a special arrangement as an EU member, in the same way that the United Kingdom has opted out of both the eurozone and the Schengen area and has negotiated its own EU budget rebate.

Though Solberg herself is from Norway’s western coast, her party’s base is comprised largely of business-friendly elites in Oslo and Norway’s other urban centers, where support for EU membership runs highest.  But that enthusiasm doesn’t always flow down to voters who support Solberg, and it certainly doesn’t extend to Norway’s other right-wing parties.  Continue reading Despite the success of pro-EU parties in Norway, don’t expect EU membership anytime soon

Solberg set to lead broad center-right coalition in Norway after today’s election

ernawins

Erna Solberg, the longtime leader of Norway’s Conservative Party, will become Norway’s next prime minister after results from today’s Norwegian parliamentary election showed all four of Norway’s center-right parties winning enough seats to form an absolute majority in Norway’s Storting (parliament).norway

Prime minister Jen Stoltenberg has conceded defeat, and will resign shortly after presenting Norway’s next budget in mid-October.

The result’s a lot more complicated than that — for starters, Stoltenberg’s party, the center-left Arbeiderpartiet (Labour Party) actually won more votes than Solberg’s party, the center-right Høyre (literally the ‘Right’) — so much so that Labour will have around 55 seats to just 48 for the Conservatives.  It’s not an unexpected result because while polls earlier this summer showed the Conservatives leading Labour, support for Labour has increased as Norwegians focused on the campaign.  Moreover, Labour has emerged in every election since 1924 with more support and seats than Norway’s various opposition parties, and its long pedigree as the natural party of government means that it has a deeper wellspring of support among the Norwegian electorate.

Here’s the breakdown of voter support with nearly all the votes counted:

norway results

Here’s the projected allocation of seat in Norway’s new parliament:

storting

But that wasn’t enough to pull off a victory for two reasons.  First, Labour’s support — around 30.9% — is smaller than the 35.4% it won in the September 2009 election, natural enough for a party that’s been in power for eight years and is seeking a third consecutive term.  Secondly, the two small parties that comprise the ‘red-green’ coalition that Stoltenberg heads, Sosialistisk Venstreparti (Socialist Left Party) and the Senterpartiet (Centre Party), did incredibly poorly, so the ‘red-green’ coalition is projected to win just a cumulative 72 seats in the 169-member Storting.

Meanwhile, Solberg’s Conservatives cannot govern by themselves, but must form an alliance among the four major center-right parties that will join parliament.  That includes the Kristelig Folkeparti (Christian Democratic Party), a moderately conservative party that led Norway’s last center-right government under prime minister Kjell Magne Bondevik between 1997 and 2000 and again from 2001 to 2005, and it includes Venstre (literally, ‘the Left,’ but commonly known as the Liberal Party).  All three parties worked together in government between 2001 and 2005 and all three parties generally accept the fait accompli of the Norwegian social welfare state and Labour’s rules to stash much of Norway’s annual budget surplus in the country’s massive oil wealth fund.  The Conservatives, in particular, have spent the election arguing for slight changes to the status quo, such as lower business taxes and tweaks to Norway’s health care system, after a major rebranding exercise to grow beyond their base of Oslo business interests.

But the coalition must also include the more controversial Framskrittspartiet (Progress Party).  Most reports highlight that the party is relatively populist and anti-immigrant, and that it was the party of Norway’s Anders Behring Breivik, who was responsible for the deadliest killings in Norway’s history in twin attacks in 2011.  That’s all true, but the party’s roots are in the anti-tax movement of the 1970s, and its goal is a massive rupture from the status quo — it would claw back many of Norway’s social benefits, drastically reduce the role of government in Norwegian life, but it would also push to spend more of the Norwegian oil surplus (or return it in the form of lower taxes).   Continue reading Solberg set to lead broad center-right coalition in Norway after today’s election

Despite doubts about far-right Progress Party, no talk of Norwegian ‘grand coalition’

siv jensen

Though the Høyre (‘Right,’ or Conservative Party) consistently leads polls as the party mostly likely to emerge with the most support in Norway’s September 9 elections, there’s still uncertainty about the future of Norway’s government.norway

That’s because while Conservative leader Erna Solberg is very likely to become Norway’s next prime minister and the Conservatives are widely tipped to win on September 9, the policies that her government will pursue will depend on the relative strength of the other center-right parties — notably the populist, anti-government, anti-immigration Framskrittspartiet (Progress Party), which remains the most controversial of Norway’s major parties.  If it joins the Conservatives in government as predicted, it will be the first time that the Progress Party has joined any government since it was founded in the 1970s.

If the election unfolds as polls predict, the Conservatives would win the largest share of the vote, around 32% and around 56 seats, which would be a historical victory against the Arbeiderpartiet (Labour Party), which is polling around 29% and around 51 seats.  The Progress Party currently polls as the third-most popular party with around 14.5% support and around 27 seats.  That means that the next government will require some kind of coalition between two of those three parties.

So while it’s not surprising that tensions are emerging during the campaign between Solberg and Progress Party leader Siv Jensen (pictured above) and that it’s clear coalition negotiations among the Conservatives, the Progress Party and other center-right allies are likely to be incredibly difficult, it is perhaps surprising that no one has really suggested a ‘grand coalition’ between Labour and the Conservatives as an alternative.  While there’s no real precedent of ‘grand coalitions’ in recent Norwegian history, neither is there precedent for a Conservative-Progress government — both options would mark new ground for Norway.

Solberg is riding high in polls today after a long stint in the wilderness for the Conservatives and a rebranding exercise designed to pull the Conservatives more fully to the center and expand the party’s relevance beyond its traditional image as a party solely for Norway’s business elite.  That means that it has moved more closely to Labour’s position on many issues and it’s much closer to Labour than to the Progress Party on both economic and social issues alike.  Nonetheless, there’s curiously little discussion about a ‘grand coalition,’ even as Norwegians assume that the Conservative-Progress coalition is virtually a done deal.  That means that the Conservatives, a party that favors continuity over rupture, will govern with the Progress Party, which has historically favored rupture over continuity.  It will also likely mean that Jensen will become Norway’s next finance minister, an outcome that could scare moderate voters otherwise disposed to a Solberg-led government into supporting Labour instead.

If, for some reason, the Conservatives win the election and don’t form a coalition with Progress, because negotiations stall or because Progress’s vote collapses, the Conservatives would more likely form a coalition with two smaller center-right parties or even try a minority government before pairing up with Labour, not least of which because Labour prime minister Jens Stoltenberg has spent much of his campaign warning about all the damage that a right-wing government would cause to Norwegian society.

But on policy terms, there’s a lot to recommend a Norwegian ‘grand coalition.’  And if it can happen in Germany, Austria and Italy, why not in Norway too?  Continue reading Despite doubts about far-right Progress Party, no talk of Norwegian ‘grand coalition’

Four reasons why cab-driving Stoltenberg has a chance at winning Norway’s election

stoltenberg

Though he’s making headlines this week for his stunt as a barely-disguised cab driver cruising the streets of Oslo to get a sense of the frustrations of Norwegian voters less than a month before Norway’s parliamentary elections, prime minister Jens Stoltenberg has long seemed destined to lose the September 9 vote. norway

Stoltenberg, who leads the Arbeiderpartiet (Labour Party) and has served as Norway’s prime minister since 2005, is running for a third consecutive term, and poll shave consistently shown his party running behind the Høyre (literally the ‘Right,’ or Conservative Party), and Norway has braced throughout the year for the likelihood that its voters will elect a center-right government.  It’s not unprecedented for Norway to have a right-leaning government — most recently, the Conservatives were part of a governing coalition led by Kjell Magne Bondevik and the Kristelig Folkeparti (Christian People’s Party) from 2001 to 2005.  But if polls today are correct, the Conservative Party will actually win more votes than the long-dominant Labour Party, and therefore hold more seats in the Storting, Norway’s parliament, and that hasn’t happened in a Norwegian election since 1924.

But the polls are narrowing — the Conservative Party still leads the Labor Party, and taken together, the broad center-right parties expected to form Norway’s next government hold a double-digit lead over the broad center-left parties that currently comprise Stoltenberg’s governing coalition.  One recent poll from TNS Gallup over the weekend showed the Conservatives with just 31.6% to 30.1% for Labour, much narrower than the five-point lead the Conservatives held only in July.  Here’s the latest August poll-of-polls data:

poll august norway

As I wrote earlier this summer, Erna Solberg, the leader of the Conservative Party since 2004, became the frontrunner in next month’s elections by rebranding the Conservatives as an acceptably moderate alternative to Labour.  In many ways, Solberg’s Conservatives today share more in common with Labour than with their largest presumptive coalition partner, the more populist, far-right Framskrittspartiet (Progress Party), a party.  But there’s still more or less a month to go before voting begins, and many Norwegians are still focused on their summer holidays than on the late-summer campaign.  That means there’s more than enough time for Labour to make up the difference before September 9.

While that doesn’t necessarily mean that Labour will return to government, it does mean that Labour has a shot at retaining its place as the largest parliamentary party in Norway and, in a best-case scenario, could potentially form a new, broader coalition, perhaps even with the Conservatives, to keep the Progress Party out of government.

Here are four reasons why that outcome isn’t as farfetched as it seems:

Continue reading Four reasons why cab-driving Stoltenberg has a chance at winning Norway’s election

How Erna Solberg became the frontrunner in Norway’s upcoming election

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Norway kicks off a busy month of elections in Europe with parliamentary elections on September 9, and if the past year’s worth of polls are to be trusted, Norwegians seem set to take a right turn, despite one of the best economies in Europe. norway

If they do so, Norway is likely to have only the second female prime minister in its history — Erna Solberg, who since 2004 has been the leader of the Høyre (literally the ‘Right,’ or more commonly, the Conservative Party).

With less than two months to go, Solberg’s Conservatives have built a growing and steady lead over the governing Arbeiderpartiet (Labour Party) and prime minister Jens Stoltenberg, a popular prime minister who’s governed Norway since 2005.

A familiar face as the Conservative leader for nearly a decade, Solberg served previously as a minister of local government and regional development from 2001 to 2005 in Norway’s previous center-right government, a role that earned her the nickname of ‘Jern-Erna,’ or ‘Iron Erna,’ and she bears some similarity to the other, more familiar center-right leader who’s running for reelection in September as well (catch an English interview with Solberg from April on the U.S.-based CNBC here).

Winning a third consecutive term in office is difficult for any government because, as years go by, the front line of policymakers either leave government or become increasingly fatigued, and governing parties, who have an increasing political stake in the status quo, don’t often regenerate the same quality of new ideas that outside parties do while in opposition.

But it’s hard to understand just why Labour seems so likely headed out of government, especially in light of Stoltenberg’s continued popularity.  It’s even more baffling when you consider that Norway is one of the best governed states in Europe, let alone the world.  Despite the fact that most of Europe is in recession or zero-growth mode, Norway grew by an estimated 3% in 2012, and the unemployment rate is a laughably low 3.5%.  Thanks to its oil wealth, it has had balanced budgets for nearly two decades, the government routinely banks its surplus (an estimated 15% of GDP in 2012) in investment funds for future use, and Norway’s GDP per capita now exceeds $60,000.

That leads to two questions: why are Norwegian voters so adamant about voting out its current government? And how did Solberg and the Conservatives become such clear frontrunners?

Background: politics in the Stoltenberg era

The 2005 election (and the ensuing 2009 election) brought about the balance that’s largely held steady for the past eight years.  Stoltenberg currently governs with the support of a ‘Red-Green’ coalition dominated by Labour and its two smaller allies, the democratic socialist Sosialistisk Venstreparti (Socialist Left Party) and the Senterpartiet (Centre Party), a chiefly agrarian party that’s moved from the political right to the political left in recent years.  Note that ‘green’ in Norway’s Red-Green coalition indicates the Center Party’s roots in rural life, not its environmental activism.

The 2005 fall of the previous center-right government of prime minster Kjell Magne Bondevik brought a drop in support for both Kristelig Folkeparti (Christian Democratic Party) and his coalition partners, the Conservatives.  That left the Framskrittspartiet (Progress Party), a relatively populist party known chiefly for its opposition to much of the Norwegian social welfare state, its advocacy of lower taxes, smaller government and deregulation, and its controversial anti-immigration stance, as the second-largest party in Norway’s parliament.  Unlike Labour and the Conservatives, both of which were founded in the late 19th century, the Progress Party emerged only in the 1970s as a modern conservative anti-tax movement.  Though it’s grown to become a major force in Norwegian politics over the 1990s and 20o0s, Progress has never formally joined any government, though that seems likely to change, as Solberg is expected to bring Progress into government if her party maintains its polling lead on September 9.

Though if Solberg’s Conservatives win their expected landslide, they will do so in large part by consolidating left-leaning moderates that have supported Labour and right-leaning moderates that have supported Progress.

The latest July 2013 poll-of-polls shows the Conservatives with nearly 32% of the vote, which would give them around 58 seats in the Storting, Norway’s unicameral 169-seat parliament:

norway poll of polls

That’s a huge jump from the 30 seats the Conservatives hold now, and it’s a massive jump from their 2005 debacle, when they won just 14.1% of the vote and a measly 23 seats.

Even more striking is that Labour might not win the largest plurality of votes and the largest bloc of seats in parliament — for the first time since 1924. Continue reading How Erna Solberg became the frontrunner in Norway’s upcoming election