Former ECB boss Draghi tries to get divided Italy behind business cabinet

At the request of Italian President Mattarella, former President of the European Central Bank Mario Draghi will attempt to form a business cabinet. It is now up to him to find a majority in the severely divided Italian parliament in favour of a technocrat government which can lead the country to the elections by May 2023 at the latest.

Yesterday it became clear that former Prime Minister Conte‘s fallen coalition cannot relaunch. Mattarella had two options left: early elections or an attempt to form a business cabinet. He chose the latter, with the formatter the partisan economist and banker Draghi.

The President did not want to organise elections in the middle of the coronapandemic, which hit Italy hard. โ€œThat is why I call on the entire parliament to give confidence to a government without political color,โ€ Mattarella said.

Super Mario

In addition to the major blow that the virus has been to health care in Italy, the pandemic has also hit the Italian economy hard. Even before the global outbreak, Italy, the EU’s third economy, was on course for a recession. According to the latest figures, gross domestic product in Italy has now fallen by 8.8%, almost 450,000 jobs have been lost since March last year.

After accepting his role as a formater Draghi said that Italy is going through a difficult period. He does believe that the EUR 200 billion of European aid can provide relief. Draghi continued to hope for unanimity and support in parliament and society. When he will report to Mattarella on his progress, he did not say.

The 73-year-old Mario Draghi, affectionately called โ€œSuper Marioโ€ by some, gained great fame as President of the European Central Bank between 2011 and 2019. His name is inextricably linked to the salvation of the euro area during the euro crisis. It has not been said that he will receive the necessary support: the Five Star Movement says that he does not want a technocrat government with Draghi.