• Italian prime minister goes to president to resign, deepening political crisis

Market news

26 January 2021

Italian prime minister goes to president to resign, deepening political crisis

Reuters reports that Italian Prime Minister Giuseppe Conte went to see the head of state on Tuesday to hand in his resignation, hoping to be given the opportunity to try to put together a new coalition and rebuild his parliamentary majority.

Conte lost his absolute majority in the upper house Senate last week when a junior partner, the Italia Viva party headed by former premier Matteo Renzi, quit in a row over the government’s handling of the coronavirus crisis and economic recession.

Efforts to lure centrist and independent senators into the coalition ranks to fill the hole left by Renzi have met little success, leaving Conte no choice but to resign and open a formal government crisis that will give him more time to find a deal.

President Sergio Mattarella is expected to accept his resignation and hold rapid consultations with party leaders to test the political waters.

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