Tag Archives: European Union

Vučić easily wins presidential victory to consolidate power across Serbia’s government

Prime minister Aleksandar Vučić easily won the weekend presidential election in Serbia. (Facebook)

For decades, presidential politics in parliamentary democracies were boring affairs — if popular elections were even held for the position, they typically featured technocrats or independents. Politicians, if they ran for what are mostly ceremonial presidencies, would be episodes that ended a successful political career.  

That’s still generally the case in western Europe — presidents like former Labour firebrand Michael D. Higgins in Ireland, one-time foreign minister Frank-Walter Steinmeier in Germany, and the charismatic communist Giorgio Napolitano in Italy all ended (or are ending) their political careers as figureheads.

But increasingly, in emerging democracies in eastern Europe, it’s becoming a power play for popular prime ministers to wage campaigns for a previously ceremonial presidency, using the ‘mandate’ of popular election as a bid to suffuse the presidency with far more than ceremonial power.

It is a gambit that’s worked in the Czech Republic and in Turkey, where presidents Miloš Zeman (since 2013) and Recep Tayyip Erdoğan (since 2014) have succeeded, to some degree, in shifting some power from the parliamentary branch of government to the presidential. The Czech Republic remains a parliamentary democracy, but Zeman, who is running for reelection in 2018, shrewdly took advantage of the country’s first direct presidential elections to carve a new role for the Czech presidency in domestic and foreign policymaking. Erdoğan not only won the Turkish presidency, but hopes to formalize constitutional changes to enshrine presidential power in a high-stakes April 16 referendum.

It failed in Slovakia, where sitting prime minister Robert Fico lost the 2014 presidential election to independent businessman and philanthropist Andrej Kiska. So it’s a power move that can sometimes backfire — Fico managed to remain Slovakian prime minister, but his center-left party dropped from 83 seats to 49 in the National Assembly in last March’s parliamentary elections after a swing of 16% away from Fico’s party.

There will be no such regrets for prime minister Aleksandar Vučić, who easily won a first-round victory with 55% of the vote among an 11-candidate field, cementing control of the Serbian government not only in the hands of the ruling Serbian Progressive Party (Српска напредна странка / SNS), but, in particular, under the personal command of Vučić, who nudged incumbent Tomislav Nikolić to stand aside from a reelection bid in late February.

It will make Vučić even more powerful than Boris Tadić, a center-left and pro-EU leader who similarly dominated Serbian politics as president from 2004 to 2012. Though Nikolić narrowly defeated Tadić five years ago in a runoff, Vučić (and not Nikolić) held more sway over Serbian government over the last half-decade, increasing his grip on power over a series of three parliamentary elections between 2012 and 2016. Vučić’s presidential victory means that power is now likely to swing (once again) to the Novi Dvor, the Serbian presidential palace.

Over the next two months, as he prepares to take the presidential oath on May 31, Vučić, who remains prime minister for the time being, is likely to choose one of several cabinet members as his successor — leading names include two independents appointed by Vučić to his cabinet, finance minister Dušan Vujović or public administration minister Ana Brnabić (who would not only be Serbia’s first female prime minister, but its first openly lesbian one, too). Nikolić, over the weekend, hinted that he would retire from party politics altogether, which would seem to eliminate him as prime minister. Former justice minister Nikola Selaković, a rising star within the SNS, is also often mentioned.  Continue reading Vučić easily wins presidential victory to consolidate power across Serbia’s government

Bulgaria’s Borissov (and EU) gets reprieve from dissatisfied voters

Leading EU officials will be relieved that Boyko Borissov is likely to begin a third stint as prime minister, but Bulgaria faces lingering concerns about its economy and corruption. (Facebook)

It’s been nearly two-and-a-half years since the last election, but Bulgarian prime minister Boyko Borissov’s center-right party won just about the same percentage of the vote that it did in 2014 — around 32.7%. 

That performance was good enough for an 11-seat increase in the National Assembly (Народно събрание), making Borissov more likely than not to retain the premiership. It’s a remarkable turnaround after Borissov, dogged by allegations of corruption within his government and after his party suffered a humiliating defeat in last November’s presidential election, resigned earlier this year and triggered snap elections.

If he can form a governing coalition, it would be Borissov’s third non-consecutive stint as prime minister, his first coming in the aftermath of the global financial crisis in 2009. At a time when Russian president Vladimir Putin is working to undermine European democracy, top European leaders and EU officials alike view Borissov as a soothing center-right ally firmly devoted to European integration. EU leaders will certainly far prefer a Borissov government with Bulgaria set (for the first time) to assume the six-month rotating EU presidency in early 2018.

As both an EU and NATO member, Bulgaria is a key ally on the eastern periphery of the European continent. It’s a northern neighbor of the economically depressed Greece and the increasingly autocratic Turkey and just across the Black Sea lies a divided Ukraine and Russian-annexed Crimea. These days, it’s an increasingly tough neighborhood. Despite European anxieties about reliance on Russian natural gas, Borissov last year was already considering the resurrection of the on-again, off-again South Stream gas pipeline from Russia (talks began in 2006, but ended after Borissov won the 2014 election), even as the country’s new president called for better relations with Russia. While the number of ethnic Russians in Bulgaria is negligible (far less than ethnic Turks, which comprise nearly 9% of the population), a large majority of Bulgarians belong to the Orthodox church, sharing important cultural touchstones with Russia.

Earlier this year, voters seemed likely to punish his party, the center-right Citizens for European Development of Bulgaria (GERB, Граждани за европейско развитие на България) for years of economic malaise and widespread corruption. GERB’s presidential candidate last November, Tsetska Tsacheva, the former chair of the National Assembly, lost a second-round runoff by a 23% margin to Rumen Radev, an independent and former Bulgarian Air Force commander endorsed by Bulgaria’s center-left.

At the time, coming days after Donald Trump’s successful, if once implausible US presidential campaign, Radev’s victory was yet another incremental geopolitical victory for Russian president Vladimir Putin, given Radev’s call for closer ties with Russia. Indeed, Tsacheva’s defeat was the proximate cause for Borissov’s resignation.

Instead, after the March 26 elections, GERB won 95 seats, the largest bloc in the National Assembly. Continue reading Bulgaria’s Borissov (and EU) gets reprieve from dissatisfied voters

Eight lessons from the 2017 Dutch election results

Twenty-eight parties were vying for 150 seats in the Dutch House of Representatives. (Emmanuel Dunand / AFP)

Orange may be the new black.

But as it turns out, orange is also the new bulwark for liberal democracy.

Mark Rutte’s governing center-right, liberal Volkspartij voor Vrijheid en Democratie (VVD, the People’s Party for Freedom and Democracy) performed better than polls predicted in The Netherlands, and Rutte will now return as Dutch prime minister — perhaps through the end of the decade — as head of a multi-party governing coalition.

Conversely, Wednesday’s election amounted to a disappointing result for Geert Wilders and the sharply anti-Europe, anti-Islam and anti-immigration Partij voor de Vrijheid (PVV, Party for Freedom), which blew a longtime polling lead that it had held from the middle of 2015 up to just a couple of weeks ago.

As Dutch voters took a harder look at the campaign, however, they turned away from Wilders’s populism and to the balmier vision of Rutte’s VVD. But they also turned to three other parties that ranged from conservative to liberal to progressive. Indeed, over 65% of the Dutch electorate supported parties that are, essentially, in favor of moderate policymaking, European integration and basic decency to immigrants.

Given that the Dutch election is the first of a half-dozen key European national elections in 2017, all of which are taking place in the dual shadows of last year’s Brexit referendum and Donald Trump’s election in the United States, everyone was watching this vote in particular as a harbinger for European elections this year.

So what does today’s result mean? Here are the top eight takeaways from election night.
Continue reading Eight lessons from the 2017 Dutch election results

Rutte’s liberals eclipses Dutch populists as voters go to the polls

Mark Rutte, if polls are correct, will lead his VVD to victory on March 15 — and another term as prime minister. (ANP)

Everything’s coming up Rutte.

Mark Rutte, that is — the prime minister of The Netherlands who will almost certainly find his way to a third term as prime minister after tomorrow’s election.

Even earlier this year, when Geert Wilders’s hard-right Partij voor de Vrijheid (PVV, Party for Freedom) held a substantial lead, it was always virtually assured that Rutte would return as prime minister. Consistently, even as the PVV topped polls, Rutte’s center-right, liberal Volkspartij voor Vrijheid en Democratie (VVD, the People’s Party for Freedom and Democracy) continued to follow behind in second place, leading the race among the PVV’s mainstream opponents. All along, Wilders’s goal was never forming a government, but the hollow victory of placing first among a half-dozen parties bunched together between 10% and 20% in the polls.

Over the last two weeks, even that has changed to Wilders’s detriment.

The VVD eclipsed the PVV in polls at the end of February, and one shock poll from Ipsos on the eve of the election showed the PVV sliding to fifth place. At a time when Rutte is embroiled in a high-profile diplomatic spat with Turkish president Recep Tayyip Erdoğan (over whether Turkish ministers should be holding campaign rallies in The Netherlands for next month’s Turkish constitutional referendum), Wilders still seems to be losing steam.

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RELATED: Trump effect — Europe turning toward integration,
away from populists

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Both inside Europe and beyond, the Wilders threat was always smaller than the amount of coverage he’s received. Even when the PVV was leading, no other major party was willing to work with Wilders and the PVV’s toxic brand. Even with the highest number of seats in the Tweede Kamer (House of Representatives), the PVV would fall far short of the majority it would need to form a government. Mostly, that’s due to the PVV’s hardline views on immigration, Islam and the European Union. But it’s also because Wilders proved an unreliable ally to Rutte when he withdrew the PVV’s support for Rutte’s minority government in 2012 over spending, forcing snap elections — a gambit that backfired when the PVV lost nine seats.

What’s very much true — and always has been true — is that support across all parties in tomorrow’s election in The Netherlands could be so dispersed that no party wins more than even 17% of the vote. It could usher in the most fragmented parliament in postwar history, and it will force Rutte to navigate coalition negotiations that include four or even five parties. Don’t hold your breath for the kind of quick deal that followed the 2012 election, the ‘purple’ coalition between Rutte’s liberals and the social democratic Partij van de Arbeid (PvdA, Labour Party).

Labour’s support has collapsed in the ensuing five years. Junior coalition parties are rarely rewarded by voters, but many Labour supporters believe the party far too willing to compromise with Rutte on spending after Labour waged a popular campaign against budget austerity. (It is still projected to win between nine and 14 seats in the election under a new leader, Lodewijk Asscher.)

If the VVD and the PVV finish first and second, respectively, as most polls still forecast, the race for third place is murkier. The conservative Christen-Democratisch Appèl (CDA, Christian Democratic Appeal), the center-left/liberal Democraten 66 (Democrats 66) and the leftist GroenLinks (Green Left) are all surging, and the CDA and D66 are widely tipped to enter government after coalition negotiations. GroenLinks is likely to make the strongest gains of any party (more even than Wilders) after the successful campaign of its fresh-faced 30-year-old leader, Jesse Klaver.

If there’s any consensus among the Dutch electorate, voters are choosing from a group of five or six parties, each dedicated to European integration, liberal democracy and moderate policy prescriptions — not fear-mongering xenophobia. No matter what happens tomorrow, Wilders will have a smaller role in shaping Dutch policy than, say, the more circumspect D66 leader Alexander Pechtold, who could become Rutte’s deputy prime minister in a new coalition. Pechtold may not have the international profile that Wilders has acquired with his ‘Make The Netherlands Ours Again’ histrionics, but he could be in a position to push the next government to a more pro-immigrant and pro-European orientation.

None of this, most especially the PVV’s apparent collapse, should be shocking.

Continue reading Rutte’s liberals eclipses Dutch populists as voters go to the polls

Trump effect: Europe turning toward integration, away from populists

Across Europe, support for Trump-style populists is falling, even though many European populists were growing long before Trump entered the political scene. (123RF / Evgeny Gromov)

If there’s one thing that unites Europeans, it’s the concept that they are better — more enlightened, more cultured and more sophisticated — than Americans.

That was especially true during the presidency of George W. Bush, when France, Germany and other leading anchors of the European Union vociferously opposed the US-led invasion of Iraq. In 2002, it sometimes seemed like German chancellor Gerhard Schröder was running against Bush, not against his conservative German challenger, Bavarian premier Edmund Stoiber.

Europeans might be leaning in a similar direction in the Trump era, even though it’s hardly been a month since Donald Trump took office. In the days after Trump’s surprise election last November (and after the Brexit vote last summer), populists like Geert Wilders in The Netherlands and Marine Le Pen in France had reason to believe that Trump’s victory would give political tailwinds to their own electoral efforts in 2017.

If anything, however, Europeans are pulling back from populism in the first months of 2017. As four of the founding EU countries gear up for elections in the coming months — the first will be The Netherlands in just nine days — the threat of a Trump-style populist surging to power seems increasingly farfetched.

Maybe Europeans simply outright disdain what they perceive as the vulgar, Jacksonian urges of American voters. Maybe it’s shock at the way Trump’s inexperienced administration has bumbled through its first 40 days or the troubles of British prime minister Theresa May in navigating her country through the thicket of Brexit and withdrawing from the European Union.

More likely though, it could be that Trump’s oft-stated criticism of NATO and praise for Russian president Vladimir Putin have finally shaken Europeans out of the fog that’s gathered for 70 years under the penumbra of pax Americana. Even as officials like US vice president Mike Pence and US defense secretary James Mattis reassure European allies that the United States is committed to the trans-Atlantic security alliance, Trump continues to muse about NATO being obsolete (as recently as the week before his inauguration). Furthermore, the America-first nationalism that emerged from Trump’s successful campaign has continued into his administration and promises a new, more skeptical approach to prior American obligations not only in Europe, but worldwide. Just ten days into office, Trump trashed the European Union as a ‘threat’ to the United States, only to back down and call it ‘wonderful’ in February. Breitbart, the outlet that senior Trump strategist Stephen Bannon headed until last summer, ran a headline in January proclaiming that Trump would make the European Union ‘history.’

All of which has left Europeans also rethinking their security position and considering a day when American security guarantees are withdrawn — or simply too unreliable to be trusted.

Arguably, NATO always undermined the European Union, in structural terms, because NATO has been the far more important body for guaranteeing trans-Atlantic security. Though Federica Mogherini is a talented and saavy diplomat, the EU high representative for foreign affairs and security policy is far less important to trans-Atlantic security than the NATO secretary-general (currently, former Norwegian prime minster Jens Stoltenberg). While the stakes of EU policymaking — trade, consumer and environmental regulation, competition law and other economic regulation and a good deal of European fiscal and monetary policy — aren’t low, they would be higher still if the European Union, instead of NATO, were truly responsible for European defense and security. That’s perhaps one reason why the European Union has been stuck since the early 2000s in its own ‘Articles of Confederation’ moment — too far united to pull the entire scheme apart, not yet united enough to pull closer together.

Perhaps, alternatively, it has nothing to do with blowback to Trump or Brexit, and voters in the core western European countries, which are accustomed to a less Schumpeterian form of capitalism, are simply more immune to radical swings than their counterparts subject to the janglier peaks and valleys of Anglo-Saxon capitalism. It’s not too much to think that, possibly, in the aftermath of both Brexit and Trump’s election, core Europe, unleashed from the toxic dynamic of British euroscepticism and emboldened to forge new relationships from outside the American security aegis, may be finding a new confidence after years of economic ennui.

Nevertheless, populists across Europe who tried to cloak themselves in the warm embrace of Trumpismo throughout 2016 are increasingly struggling in 2017. A dark and uncertain 2016 is giving way rapidly to a European spring in 2017 where centrists, progressives and conservatives alike are finding ways to push back against populist and xenophobic threats.  Continue reading Trump effect: Europe turning toward integration, away from populists

Meet Jesse Klaver, the 30-year-old Dutch leader of the surging Green-Left Party

Jesse Klaver, the youthful leader of GroenLinks, hopes to make his party a player for the first time in the Dutch House of Representatives. (Facebook)

The first thing you notice about Jesse Klaver is just how much he looks like Canada’s prime minister, Justin Trudeau.

The second thing you notice is that he’s so young — at 30 years old, he’s a full decade and a half younger than Trudeau and between 12 and 24 years younger than the other major Dutch party leaders.

But the more important point about Klaver, who has also been likened to John F. Kennedy, is that he’s making his leftist GroenLinks (Green-Left) a genuine player in Dutch politics for the first time since it came into existence in 1989. If polls are correct, GroenLinks will surge from just four seats to as many as 20 seats after the Dutch electorate votes in two weeks.

Klaver is the freshest face among the half-dozen or so party leaders who will be forced to work together after the March 15 election to forge a new government. Unlike in past elections, GroenLinks could be a key player in what will likely be a four- or five-party coalition that forms the next Dutch government. It’s very unlikely that Klaver would agree to bring his party into any coalition headed by current prime minister Mark Rutte. Nevertheless, Klaver’s party, which is as firmly pro-European as Rutte and likely the next Rutte-led government, could offer in opposition an alternative anti-austerity voice than the populist Geert Wilders.

Klaver’s party is locked in a tight contest among potentially five different parties for third place, behind Rutte’s center-right liberal Volkspartij voor Vrijheid en Democratie (VVD, People’s Party for Freedom and Democracy) and Wilders’s the anti-Islam, anti-immigrant and eurosceptic Partij voor de Vrijheid (PVV, Party for Freedom).

Wilders has dominated news coverage of the campaign both in The Netherlands and abroad, with his party surging to a formidable polling lead two years ago. Wilders, who pledges to ‘Make The Netherlands Great Again,’ promises a Trump-style rupture to halt the flow of refugees into The Netherlands and the flow of sovereignty from Amsterdam to Brussels. Wilders, like Trump and other far-right nationalists across Europe, is giving voice to a growing cadre of displaced and dispirited working-class voters who might have voted for left-wing parties a decade or two ago.

Though many polls forecast that the PVV will win the largest number of seats in the 150-member Tweede Kamer (House of Representatives), recent surveys show that the VVD’s support is plateauing or even, within the last week, falling. Even if Wilders and the populists do win the largest bloc of seats in the House, none of the other major Dutch parties are willing to entertain joining a Wilders-led coalition.

All of which means that the threat of an illiberal and xenophobic Dutch government, in 2017 at least, are far-fetched.

Indeed, if the election were held today, it would be Klaver’s GroenLinks (and not Wilders’s PVV) that could make the largest net gains in the election, contrary to conventional wisdom. Continue reading Meet Jesse Klaver, the 30-year-old Dutch leader of the surging Green-Left Party

As Gabriel steps aside, Schulz gives Germany’s SPD best shot in a generation

Martin Schulz, formerly the European Parliament president, has returned to German domestic politics in recent weeks. (Facebook)

For the past two elections, Germany’s center-left has tried to stymie chancellor Angela Merkel with two jowly, doughy figures compromised by high service in Merkel-led ‘grand coalition’ governments. 

And for the past two elections, Germany’s center-left Sozialdemokratische Partei Deutschlands (SPD, Social Democratic Party) has won a smaller share of the vote than at any other time in postwar German history.

For months, it appeared that the Social Democrats were set to sleepwalk into making the same error in 2017.

With the federal election formally set for September 24, it seemed that the SPD would choose as its candidate for chancellor Sigmar Gabriel, the economy minister who serves as vice chancellor in the current Große Koalition and who has served as the party’s official leader since 2009.

Though polls showed Merkel’s center-right Christlich Demokratische Union (CDU, Christian Democratic Union), in power since 2005, losing some ground to the eurosceptic and anti-immigrant Alternative für Deutschland (AfD, Alternative for Germany), they still maintained a consistent lead of anywhere from 11% to 17% against the Social Democrats. With Gabriel at the helm, the SPD seemed content to lose another election to Merkel, perhaps willing to suffer as the junior partner in her fourth-term governing coalition or otherwise in complete opposition.

So it was a surprise to see Gabriel on Tuesday bow out of competition to lead his party into the 2017 elections and instead endorse Martin Schulz, who stepped down as the president of the European Parliament just weeks ago to return to German politics. Continue reading As Gabriel steps aside, Schulz gives Germany’s SPD best shot in a generation

Why Cameron should have waited until 2017 to hold the Brexit referendum

(pixelbliss / 123rf)

There’s no doubt that world politics in 2016 turned nationalist, anti-globalization and increasingly illiberal, and that’s clear from three touchstone elections — Philippine president Rodrigo Duterte’s election in May, the decision by British voters to leave the European Union in June and US president-elect Donald Trump’s victory in November. 

But what if the Brexit referendum didn’t even happen in 2016?

Timing is everything in politics and, when former UK prime minister David Cameron originally announced that he would concede a referendum on EU membership, the law that he and his Conservative-led government later enacted in the House of Commons specified that the referendum would be held no later than December 31, 2017. From 2013 throughout much of the 2015 general election campaign across Great Britain, many commentators and politicians assumed that Cameron would hold the referendum in 2017 — and not in 2016.

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RELATED: Leave campaign’s immigration emphasis
could trump Brexit economics

RELATED: In defense of David Cameron

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Only after Cameron’s surprisingly strong 2015 victory did his team seriously consider moving the referendum forward to June 2016, barely a year after the Conservative Party’s sweep to reelection.

At the time, the aggressive approach made a certain amount of sense. Cameron was at the height of his political popularity after the 2015 vote, and so the sooner Cameron could move beyond the European question, the better — and the better to end the uncertainty of a Brexit that began with the 2013 decision to hold a vote. A quicker (and shorter) campaign would give the ‘Leave’ camp less time to raise money and win voters that, though divided, seemed to edge toward the ‘Remain’ camp. Another recession, perhaps sparked by a new American administration or more troubles with European banks or debt, in particular, could dampen voter moods about EU matters.  Continue reading Why Cameron should have waited until 2017 to hold the Brexit referendum

What to expect from Italy’s new government

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Far from a rupture, Italy will get more of the same under its new prime minister Paolo Gentiloni. (AFP / Getty)

Consider Italy’s new government renzismo without Renzi.

A week after Matteo Renzi failed, in spectacular measure, in his efforts to win Italian voter approval of his ill-fated referendum on political reform, Italy has a new prime minister after consultations between Renzi, other political leaders and Italian president Sergio Mattarella.

With no more than 15 months (and likely far less) until the next general election, Italy’s new premier Paolo Gentiloni will lead a government that looks much like the one Renzi led until last week — one dominated by the centrist and reformist wing of Italy’s center-left Partito Democratico (PD, Democratic Party).

Given that the Democrats and their centrist allies retain a majority in the lower house of the Italian parliament, the Camera dei deputati (Chamber of Deputies), it was almost certain that Mattarella would appoint someone from the Italian left. It was not certain that Mattarella would turn to a Renzi ally, however, given the longstanding tradition of non-partisan ‘technocratic’ governments in Italian politics. Still, Gentiloni was a colorless Roman aristocrat with an undistinguished political career until his sudden ascent to foreign minister two years ago. He replaced Federica Mogherini, who departed Renzi’s government in 2014 to serve as the EU high representative for foreign affairs and security policy. Today, Mogherini remains a rising star who may yet eclipse even Renzi from her perch as Europe’s top diplomat.

Gentiloni, who hails from Roman nobility, began his career in journalism, switching to politics in the 1990s as an ally of Francesco Rutelli, a former centrist mayor of Rome from 1993 to 2001. Both of them served in the short-lived government of Romano Prodi from 2006 to 2008; Rutelli as deputy prime minister and culture minister, Gentiloni as communications minister. In the center-left primary to determine the party’s candidate in the 2013 Roman mayoral election, Gentiloni finished in third place with just 14% of the vote.

Despite strong marks for his time as foreign minister, no one expects Gentiloni to remain prime minister longer than the next election, no matter who wins.

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RELATED: Renzi’s referendum loss isn’t the end of the world
for Italy or the EU

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Gentiloni, instead, looks more like a caretaker who will lead the government through rough months ahead while Renzi licks his wounds back home in Florence and prepares for the next election.

Perhaps most consequentially for Europe (and global markets), Gentiloni’s cabinet retains Renzi’s finance minister Pier Carlo Padoan, himself seen as a potential successor to Renzi. Other key ministers retained include defence minister Roberta Pinotti and justice minister Andrea Orlando, while Angelino Alfano, previously interior minister, will assume Gentiloni’s new role as foreign minister.

Italian banks on the brink

With his confidante running the government, Matteo Renzi is now free to start crafting his own political comeback from the sidelines. (Facebook)

Gentiloni and Padoan will turn most immediately to efforts to calm markets about Italy’s tottering banks and, in particular, the Banca Monte dei Paschi di Siena (MPS).  Increasingly, it seems likely that the bank, the world’s oldest (dating back to 1492, will require a bailout from the government, potentially angering taxpayers. Potentially, the government might also require a ‘bail-in’ of the bank’s investors, potentially angering Italy’s capital class. Other Italian banks in need of capitalization may come in for the same treatment. Essentially, Italian banks today find themselves in much the same position as American banks in 2009 — undercapitalized and sitting on far too many non-performing loans. While the U.S. bailout in 2008 and 2009 was far from popular, in today’s climate, in a country like Italy, where joblessness and listless (or negative) growth have become endemic, a bailout could be far more toxic.

Renzi may believe that, by leaving such unpopular steps to Gentiloni and Padoan, he can emerge later in 2017 or 2018 for a comeback — not unlike Silvio Berlusconi, himself forced from office twice, despite dominating Italian politics for nearly two decades.

That may be too clever by half. Continue reading What to expect from Italy’s new government

Merkel may be down, but don’t rule her out for a fourth term just yet

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Germany’s chancellor since 2005, Angela Merkel is widely believed to be preparing to seek fourth term in the 2017 federal elections. (Facebook)

It’s entirely possible that September 2016 marks the worst month of German chancellor Angela Merkel’s career.Germany Flag Iconmecklenburg-vorpommern berlin

Merkel’s center-right party, the Christlich Demokratische Union (CDU, Christian Democratic Union) fell to third place in Mecklenburg-Vorpommern, a relatively low-population state of just 1.6 million that sprawls along the northern edge of what used to be East Germany. While the center-left Sozialdemokratische Partei Deutschlands (SPD, Social Democratic Party) has been traditionally stronger there in elections since reunification, two factors made the CDU’s loss particularly embarrassing. The first is that it’s the state that Merkel has represented since her first election in 1990 shorly after German reunification. The second, and more ominous, is that the CDU fell behind the eurosceptic, anti-refugee Alternative für Deutschland (Afd, Alternative for Germany), a relatively new party founded in 2013 that today holds seats in 10 of Germany’s 16 state assemblies and that, according to recent polls, will easily win seats in the Bundestag in next September’s federal elections.

mecklenburg_vorpommern-2016 mecklenburg-landtag

Two weeks later, on September 18, Merkel’s CDU also suffered losses in Berlin’s state election. As left-wing parties have long dominated Berlin’s politics, and the SPD placed first and Germany’s Die Linke (the Left) and Die Grünen (the Greens) placed third and fourth behind the CDU. But even in Berlin, the AfD still won 14.2% of the vote.

berlin-2016 berlin-assembly

Taken together, the state election results forced a mea culpa from Merkel on Monday. The chancellor, who is expected (though by no means certain) to seek a fourth consecutive term next year, departed from the calm, steely confidence that since last summer has characterized her commitment to accept and integrate over a million Syrian refugees within Germany’s borders. Merkel admitted, however, that she would, if possible, rewind the clock to better prepare her country and her government for the challenge of admitting so many new migrants, and she admitted lapses in her administration’s communications. With the AfD showing no signs of abating, it’s clear that its attacks on Merkel’s open-door policy are working. Merkel’s statement earlier this week admitted that her policies have not unfolded as smoothly as she’d hoped.

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RELATED: Can Hillary Clinton become America’s Mutti?

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Indeed, German polls are starting to show that voters are souring on Merkel and her approach to migration, so much that in one poll in August for Bild, a majority of voters no longer support a fourth term for Merkel. All of which has led to hand-wringing both in Germany and abroad that Merkel’s days are numbered.

Don’t believe it. Continue reading Merkel may be down, but don’t rule her out for a fourth term just yet

Why Northern Ireland is the most serious obstacle to Article 50’s invocation

Few Protestants or Catholics want to go back to the days of a land border between Northern Ireland and the Republic of Ireland. (BBC)
Few Protestants or Catholics want to go back to the days of a land border between Northern Ireland and the Republic of Ireland. (BBC)

When pro-Leave campaigners argued that, by leaving the European Union, Great Britain could ‘take back control,’ one of the clear things over which Brexit proponents seem to want to take control was national borders.northernirelandUnited Kingdom Flag Icon

Given that Great Britain itself is an island, that’s mostly a theoretical proposition, because you can’t step across the border into England, Scotland and Wales — their ‘borders’ are through their seaports and airports.

That’s not true in Northern Ireland, the only region in the United Kingdom that does share a land border with another European Union member-state. It’s also one of the most delicate tripwires for British prime minister Theresa May in her dutiful quest to invoke Article 50 of the European Union’s Lisbon Treaty next year and begin negotiations for a British EU withdrawal.

Scotland has garnered more headlines because Scottish first minister Nicola Sturgeon has argued that Scots, who voted strongly for Remain, deserve a second independence referendum  when the British government finally does leave the European Union. But if ‘Remain’ proponents are looking to the one part of the United Kingdom that could impossibly prevent Article 50’s invocation, they should look to Northern Ireland, where Brexit could unravel two decades of peace, and where Brexit is already causing some anxiety about the region’s future.

May, just days after replacing David Cameron at 10 Downing Street, visited Belfast earlier this week in a bid to reassure both unionists and republicans. But it’s not clear that May’s first journey to Northern Ireland, which preceded a meeting with Ireland’s leader a day later, was a success.

May boldly claimed that Brexit need not result in the return of a ‘hard border’ between Northern Ireland and the Republic of Ireland. But settling Northern Ireland’s Brexit border issue is virtually intractable for the May government — at least without alienating one of three crucial groups of people: first, the mostly Catholic republicans of Northern Ireland; second, the most Protestant unionists of Northern Ireland or finally, those Brexit supports across the entire country who voted ‘Leave’ in large part to close UK borders to further immigration.

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As in Scotland, Northern Ireland’s voters narrowly titled against Brexit — 55.78% supported ‘Remain,’ while just 44.22% supported ‘Leave.’ Generally speaking, republicans widely supported ‘Remain,’ and unionists leaned toward ‘Leave,’ including first minister Arlene Foster. Continue reading Why Northern Ireland is the most serious obstacle to Article 50’s invocation

Ten things that May’s elevation to No. 10 tells us about Britain’s future

Home secretary Theresa May has a clear path to succeed David Cameron at 10 Downing Street. (Oli Scarff / Getty Images)
Home secretary Theresa May has a clear path to succeed David Cameron at 10 Downing Street. (Oli Scarff / Getty Images)

It’s as if an entire season of Game of Thrones swept through British politics in the space of two-and-a-half weeks.United Kingdom Flag Icon

The list of political careers in ruins runs long and deep. Prime minister David Cameron himself. Chancellor George Osborne. Former London mayor Boris Johnson. Justice secretary Michael Gove. Nigel Farage, the retiring leader of the United Kingdom Independence Party (UKIP). Maybe even Labour leader Jeremy Corbyn, who may enjoy the support of grassroots Labour members, but not of his parliamentary party.

Monday brought another casualty of the post-Brexit era: energy secretary Andrea Leadsom, who withdrew from the September leadership contest for the Conservative Party leadership. The decision came just four days after Tory MPs pitted Leadsom (with 84 votes) in a runoff against home secretary Theresa May (with 199 votes), eliminating Gove (with just 46 MPs supporting him).

Leadsom, who supported the Leave campaign in the June 23 referendum, had garnered the support of the eurosceptic Tory right, including endorsements from former leader Iain Duncan Smith and other Leave campaign heavy-hitters like Johnson and even Farage. But Leadsom struggled to adapt to the public stage as a figure virtually unknown outside of Westminster a week or two ago (reminiscent in some ways of Chuka Umunna’s aborted Labour leadership campaign last year).

Though she promised to bring far more rupture to Conservative government than May, Leadsom also struggled to defend against charges that she embellished her record as an executive in the financial sector before turning to politics. Over the weekend, she suffered a backlash after suggesting she would be a better leader because she (unlike May) had children.

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It was always an uphill fight for Leadsom, despite the rebellious mood of a Tory electorate that voted overwhelmingly for Brexit and was clearly attracted to Leadsom’s more radical approach. May, a more cautious figure, supported the Remain campaign during the referendum, though she largely avoiding making strong statements either for or against EU membership. At one point, she argued that the United Kingdom should leave the European Court on Human Rights (a position that she has disavowed now as a leadership contender).

So what happens next? And what do the prior 18 days portend for the policies and politics of the May government?  Continue reading Ten things that May’s elevation to No. 10 tells us about Britain’s future

In defense of David Cameron

Prime minister David Cameron resigned earlier this morning. (Stefan Wermuth / Reuters)
Prime minister David Cameron resigned earlier this morning. (Stefan Wermuth / Reuters)

Normally, when a politician — especially a president or a prime minister — resigns, he or she is met with effusive praise.United Kingdom Flag Icon

There’s the defeat. Then the stepping down. Then a deluge of pieces heralding the peaks as well as the valleys of the political career that’s just ended.

Not David Cameron, who stepped out of 10 Downing Street this morning to step down as British prime minister, a day after he narrowly lost a campaign to keep the United Kingdom inside the European Union. For Cameron, today’s political obituaries, so to speak, are absolutely brutalThe Independent called him the ‘worst prime minister in a hundred years.’

And that’s perhaps fair. He is, after all, the prime minister who managed to guide his country, accidentally, out of the European Union. His country (and, indeed all of Europe) now faces a period of massive uncertainty as a result.

The man who once hectored his party to stop ‘banging on about Europe’ has now been done in over Europe — just as the last two Conservative prime ministers, Margaret Thatcher and John Major.

He’ll leave behind a Scotland that wanted to stay inside the European Union by a margin of 62% to 38% and that will now have the moral and political capital to demand a fresh independence referendum to become an independent Scotland within the European Union. First minister Nicola Sturgeon, of course, knew this all along, and she wasted no time in making clear that a second vote is now her top priority.

He’ll also leave behind an awful mess as to the status of Northern Ireland, which also voted for Remain by a narrower margin. Its borders with the Republic of Ireland are now unclear, the republican Sinn Fein now wants a border poll on Irish unification and the Good Friday agreement that ended decades of sectarian violence might have to be amended.

He’ll leave behind an angry electorate in England, sharply divided by income, race, ethnicity and culture — if the divide between England Scotland looks insurmountable, so does the divide between London and the rest of England. Despite the warning signs, and the rise of Nigel Farage’s United Kingdom Independence Party (UKIP), Cameron failed to provide English voters with the devolution of regional power that voters enjoyed in Wales, Scotland, Northern Ireland and even London.

Cameron showed, unlike Spanish prime minister Mariano Rajoy, he was willing to accede to the wishes of Scottish nationalists and give them a say in their own self-determination. Given the corrosive nature of the eurosceptic populism within his own party and in UKIP, it wasn’t unreasonable that Cameron would force them to ‘put up or shut up’ with the first in-out vote on EU membership since 1975, when the European Union was just the European Economic Community.

On every measure, Cameron leaves behind a country more broken and more polarized than the one he inherited from Gordon Brown in May 2010. Continue reading In defense of David Cameron

British voters take to polls today for historic EU referendum vote

After years of preparation, it's now up to voters to make their choice.
After years of preparation, it’s now up to voters to make their choice.

So it’s finally here.United Kingdom Flag Icon

Polls are now open across the United Kingdom of Great Britain and Northern Ireland, where voters are deciding whether to either remain a member of the European Union or to leave the European Union. It’s home to the largest city in the European Union (London) and, with 64.9 million people, it’s the third-most populous state in the European Union, after Germany and France.

Polls are open from 7 a.m. through 10 p.m. — that means that here on the east coast of the United States, polls will be closing at 5 p.m. ET, with the first results to arrive shortly thereafter. No official exit polls are being conducted, but private hedge funds are believed to have commissioned exit polls and early financial indictors could tell us know traders believe the result will go. In any event, the final result is expected to be announced by ‘breakfast time’ on Friday morning.

The United Kingdom joined what was then the European Economic Community in 1973 under Conservative prime minister Edward Heath, after two failed attempts at membership, in each case vetoed by French president Charles de Gaulle. Continue reading British voters take to polls today for historic EU referendum vote

‘Leave’ campaign’s immigration emphasis could trump Brexit economics

UKIP leader Nigel Farage made immigration the heart of his campaign to leave the European Union. (PA)
UKIP leader Nigel Farage made immigration the heart of his campaign to leave the European Union. (PA)

Turkey is not going to become a member-state of the European Union anytime soon.United Kingdom Flag IconEuropean_Union

No matter what joint talks take place next week, next month or next decade between Turkish and European diplomats, it is absolutely incomprehensible that the European Union, with or without the United Kingdom, would be willing to grant membership to a state with the level of economic corruption and political authoritarianism as Turkey. Full stop.

Even if European diplomats did, though, and even if each of the other 27 member-states of the European Union wanted to admit Turkey — which today borders war-torn Syria and destabilized Iraq — all it would take is for a British prime minister to say, simply, ‘No.’

That’s because EU membership is one of a handful of issues accomplished only by unanimity of the European Union’s member-states. For example, Greece has held up Macedonia’s EU accession hopes for years over a long-simmering conflict over the name ‘Macedonia,’ and the Greeks, for the better part of the last century, have been none too keen on doing many favors for their Turkish rivals, either.

Last week, EU officials cheekily informed Turkey that the country has not yet met all of the EU conditions for visa-free travel to the European Union, one of the rewards that Turkey received as part of a controversial deal to stem the flow of Syrian and Iraqi migrants from Turkey into the European Union. Though critics of German chancellor Angela Merkel argue that she sold out EU values in exchange for a Turkish solution to the EU migration crisis, Europeans are holding firm in requiring that Turkey’s president Recep Tayyip Erdoğan stop using ‘anti-terror’ laws to arrest journalists, academics and political opponents. This is hardly the stuff of happy Turkish-EU relationsContinue reading ‘Leave’ campaign’s immigration emphasis could trump Brexit economics