Mario Draghi To Resign As Italian Prime Minister After Coalition Withdraws Support – Mario Draghi Offers Resign
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Italian Prime Minister Mario Draghi has become the new victim of the growing political instability in Europe. Political uncertainty has recently increased in European countries due to the lack of natural gas and record inflation. British Prime Minister Boris Johnson and Estonia’s Prime Minister Keja Kalas had to resign recently. Before that, the party of French President Emmanuel Macron failed to get back a parliamentary majority.
Mario Draghi announced his resignation on Thursday night. 74-year-old Draghi is a banker. He is credited with saving the euro currency during the 2008 financial crisis. He has also been credited with bringing economic stability to Italy, the third largest economy within the European Union. But the Draghi-led coalition has been torn apart amid the energy crisis created by the Ukraine war.
Within hours of announcing Draghi’s resignation, Italian President Sergio Matarella said he would not accept the resignation. But observers say this has not resolved Italy’s political crisis. The Five-Star Party has parted ways from the Draghi-led coalition. It has refused to support Draghi’s economic reform program. Five-Star was the single largest party in the ruling coalition.
According to a report by the website Politico.Eu, even if Draghi’s government somehow survives now, it will still not be able to provide stable governance. Rather, the power struggle will intensify in the coming days. General elections are due in Italy next year. Therefore, the parties involved in the ruling coalition do not want to be seen standing with such reforms, which will increase the burden on the common people.
The news of Draghi’s resignation had a clear impact on the financial markets. Economists have expressed concern that increasing political instability in this time of economic crisis could worsen the situation. The euro, the currency of the European Union, has fallen to a record low in the past three months. Due to this, concern has deepened in the countries coming in the Eurozone.
Analysts have said that if the situation worsens in Italy, its impact will be felt across Europe. Italy’s Democratic Party MP Stefano Sicanti told the website Politico- ‘German Chancellor Olof Scholz came to power only a few months ago. French President Emmanuel Macron has weakened after the parliamentary election. After him, Draghi is the most important leader.
Political analyst Wolfango Piccoli has said that without Draghi it will be more difficult to cope with the energy crisis and take measures to provide relief to consumers from rising inflation. Draghi was pursuing a plan to impose limits on the price of crude oil imported from Russia. In the recent G-7 meeting, his plan was also supported by the leaders of the other six countries. Piccoli said- ‘These are some of the initiatives where Draghi can make an impact. His words are heard in Europe and he also has the capacity to speak directly to US President Joe Biden. Therefore his removal from office will be a loss to the whole of Europe.