Italy PM Matteo Renzi delays resignation until budget is passed

December 6, 2016

Rome, Dec 6: Italian Prime Minister Matteo Renzi formally resigned Monday after a crushing referendum defeat that has sent shockwaves around Europe — though his departure will be delayed by a final task, passing a budget.

Italy

Renzi handed his resignation to President Sergio Mattarella after Italians resoundingly rejected his constitutional reform proposals in Sunday's referendum, to the delight of the country's populist leaders, fresh after Brexit and Donald Trump's US victory.

The departure of the centre-left premier — who had staked his future on the outcome of the vote — plunges Italy into political uncertainty and casts a shadow over the future of the eurozone's third-largest economy.

In an apparent bid to ease investor fears, the presidency said in a statement that Mattarella had "asked the prime minister to postpone his resignation" until the 2017 budget has been passed, a move expected by the end of the week, according to Italian media.

The government has already won a vote of confidence on the budget in the lower house of parliament.

Renzi, who in 2014 became Italy's youngest-ever premier, was left with no option but to quit after his proposals to streamline parliament were rejected by voters by a decisive 59-41 percent margin.

The 41-year-old former mayor of Florence, who came to power promising radical reform, defended his record.

"1,000 difficult but wonderful days. Thanks to everyone. Viva l'Italia," he wrote on Facebook.

Italian media said he told his cabinet he had agreed to see the budget passed before his departure "out of a sense of responsibility".

Landmark moment?

Initial market reaction to Renzi's departure has been subdued.

The euro briefly sank to a 20-month low as investors fretted that political instability could scupper efforts to resolve debt-ridden Italy's long-running banking crisis, and over the possibility of an election that could see anti-EU parties challenge for power.

Italy's FTSE MIB stock index fell 2.0 percent at the opening but recovered to end the day only fractionally down. Italian bond yields rose slightly, having already edged up prior to Sunday's vote.

Traders were reassured in part by the result of Europe's other crucial vote this weekend, which saw Austria reject a far-right candidate for president.

But some analysts said the referendum could yet come to be seen as a landmark moment.

Holger Schmieding, at the Berenberg private bank, said the risk that Italy could choose to leave the euro, while still remote, had increased.

Capital Economics said: "Italy has taken the first step along a path that could lead it out of the eurozone."

An anti-establishment vote

The vote inevitably became something of a referendum on Renzi's personality and record after his pledge to stand down should he lose, and an opportunity for some to express wider frustrations.

Populists across Europe rejoiced at his downfall, with the founder of Italy's own anti-establishment Five Star movement Beppe Grillo calling for an election "within a week".

Giovanni Orsina, Professor of Politics at Rome's Luiss university, said four out of five voters had cast their vote politically rather than on the merits of the reform.

"The vote has broad similarities with the Brexit and Trump phenomena," he said. "The electorate voted against the establishment, against Brussels. They didn't get into the subtleties."

Poll data showed the No vote was strongest in areas with high unemployment, in the relatively poor south and amongst young voters, pointing to a correlation with levels of discontent.

Britain's eurosceptic Nigel Farage, who spearheaded the "Brexit" campaign, said the vote appeared to have been "more about the euro than constitutional change".

But former Bank of Italy economist Lorenzo Codgno insisted: "The outcome of the referendum is much more complex and nuanced than 'just another wave of protest across the globe'."

Padoan favourite for new PM

Most analysts see immediate elections as unlikely.

The most probable scenario is a caretaker administration dominated by Renzi's Democratic Party taking over before an election that has to take place by March 2018.

Finance Minister Pier Carlo Padoan was installed as the bookmakers favourite to succeed Renzi as prime minister, with Senate speaker Pietro Grasso, a veteran anti-mafia prosecutor, running in second place.

Renzi meanwhile may try to stay on as head of his party, which would leave him well-placed for a potential comeback to frontline politics at the next election. But he faces resistance to that scenario from the many enemies he has made while in office.

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News Network
June 3,2020

Washington, Jun 3: US President Donald Trump's administration on Tuesday announced investigations into foreign digital services taxes it says are aimed squarely at American tech firms.

Following a similar trade investigation against France last year, the US Trade Representative office now is looking into taxes in Britain and the European Union, as well as Indonesia, Turkey and India.

"President Trump is concerned that many of our trading partners are adopting tax schemes designed to unfairly target our companies," USTR Robert Lighthizer said in a statement.

"We are prepared to take all appropriate action to defend our businesses and workers against any such discrimination."

Washington opposes the efforts to tax revenues from online sales and advertising, saying they single out US tech giants like Google, Apple, Facebook, Amazon and Netflix.

The US and France have agreed to negotiate till the end of the year over a digital services tax Paris approved in 2019, after USTR found them to be discriminating and threatened retaliatory duties of up to 100 percent on French imports such as champagne and camembert cheese.

Trump has embroiled the US in numerous trade disputes since taking office in 2017, including a months-long trade war with China that cooled with the signing of a partial deal in January.

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News Network
January 6,2020

Sydney, Jan 6: Reserve troops fanned out across fire-ravaged regions in three Australian states on Monday after a horror weekend, as the government pledged $1.4 billion over two years to help recover from the devastating months-long crisis.

Catastrophic bushfires have turned swathes of land into smouldering, blackened hellscapes and destroyed an area about the size of the island of Ireland, according to official figures, with authorities warning the disaster still has weeks or months to run.

Prime Minister Scott Morrison, whose government has been criticised for its slow response to the emergency, pledged Australian $2 billion ($1.4 billion) of taxpayer money for a national recovery fund.

"It's a long road ahead and we will be with these communities every step of the way as they rebuild," Morrison said.

Firefighters joined by fresh teams from the US and Canada were taking advantage of rainy and cooler conditions to tackle out-of-control blazes ahead of rising temperatures forecast later this week.

In the biggest-ever call up of reserves, military teams were deployed across eastern Australia to help emergency services assess the damage, restore power and deliver supplies of food, water and fuel to cut-off communities.

For the first time in Australian history the government also deployed its medical assistance team, normally sent to other nations to lend support in the aftermath of their disasters to help evacuees.

"There is no room for complacency, especially as we have over 130 fires burning across (New South Wales) state still," Premier of New South Wales state Gladys Berejiklian said on Monday.

New normal

Almost five million hectares (50,000 square kilometres) have been razed across New South Wales and more than 1.2 million hectares in Victoria since late September, officials said.

That took the total amount of land burnt close to eight million hectares, around the size of the island of Ireland or South Carolina.

Twenty-four people have lost their lives so far, with over 1,800 homes damaged.

Two people are missing in New South Wales, the nation's most populous state.

In Victoria, Premier Daniel Andrews established a bushfire recovery agency to help devastated towns. It will be a permanent body, he said, as intense fires will become commonplace.

"We should just be honest about the fact that we're going to see more and more fires, more and more damage as each fire season comes... this is the new normal," Andrews told reporters.

The chair of the newly established Victoria state's bushfire appeal fund, Pat McNamara, added that this year's summer bushfire season was a "creeping disaster".

"We're still not even into what we would regard as the peak of the fire season," McNamara told national broadcaster ABC.

In the usually picturesque southeastern town of Eden, Holly Spence said she spent more than 12 hours defending her family's farm on Saturday, less than a week after saving it on New Year's Eve.

"We don't want to go through this for a third time," the 28-year-old told AFP.

Fiona Kennelly, 50, who evacuated with 24 members of her extended family to a motel outside Eden, said she was relieved the easing conditions allowed them to get some respite from the crisis.

"It's good to see daylight at the right time again," she told AFP, adding that the skies had been turning pitch-black in the afternoons.

Public anger

The impact of the bushfires has spread beyond affected communities, with heavy smoke engulfing the country's second-largest city Melbourne and the national capital Canberra.

Some government departments were shut in Canberra as the city's air quality was once-again ranked the world's poorest, according to independent online air-quality index monitor Air Visual.

The disaster has sparked growing public anger with Morrison. Rallies are planned on Friday to call on his government to step up efforts to tackle climate change, which experts say have helped fuel the fires.

In Los Angeles, Hollywood superstar Russell Crowe said he was back home fighting the fires and that the disaster was "climate change-based".

"We need to act on science, move our global workforce to renewable energy and respect our planet for the unique and amazing place it is. That way, we all have a future," he said in a message read out by Jennifer Aniston.

Australian actress Cate Blanchett praised the volunteer firefighters battling the blazes, adding: "When one country faces a climate disaster, we all face a climate disaster. We're in it together."

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Agencies
April 25,2020

From loudspeakers on the roof of a Minnesota mosque, the Islamic call to prayer echoed for the first time ever throughout a Minneapolis neighbourhood late on Thursday as the Muslim community there prepared to begin the holy month of Ramadan.

It echoed again on Friday morning and will continue five times a day during the holy month. 

The simple, short call - known as the adhan - marked an historical moment for Minneapolis and major cities across the United States, community members said. While the adhan is commonly broadcast throughout the Middle East, North Africa and other places, for many Muslims in the US, it is only heard inside mosques or community centres.

"There's definitely a lot of excitement," said Imam Abdisalam Adam, who is on the board of the Dar al-Hijrah mosque, from where the adhan will be broadcast.
"Some people see it as historic," Adam told Al Jazeera. "To the point ... that they're not doing it, able to see it in their lifetime." 

Recited by different representatives from mosques around the city, the call to prayer is expected to reach thousands in the Cedar-Riverside neighbourhood in Minneapolis, according to Jaylani Hussein, the executive director of Minnesota's Council on American-Islamic Relations (CAIR).

While Hussein says the community had discussed broadcasting the call for years, it became even more pressing this year when the coronavirus pandemic forced mosques to shut their doors and residents to stay inside. The coronavirus has infected more than 870,000 people nationwide and killed at least 50,000.
"We wanted to touch those individuals who frequent this mosque and this community," Hussein said. "If we cannot be physically together, at least this echo, this voice, this call to prayer can be an extension of us being together at this difficult time. To give some people some solace."
Ramadan - Minnesota.

The Dar al-Hijrah mosque in the Cedar-Riverside neighbourhood of Minneapolis, Minnesota [Courtesy of Abdisalem Adam] 
Ramadan is traditionally a time when Muslims worldwide regularly attend mosques for daily prayers and break their fasts together. But this year, most have been told to pray at home and forgo community iftars in favour of staying safe from the COVID-19 crisis.

Adam, the imam, said while the Muslim community is experience loss this Ramadan, they hope the call to prayer broadcast will create a "semblance of normalcy".

"With the loss of Friday prayers and the regular congregational prayers, we are hoping that this will give a sense of solace and connection to the spiritual needs of community members," he added. 

An avenue to greater investment?

The Cedar-Riverside neighbourhood is a densely populated area of Minneapolis that has historically been an entry point for many immigrants and today is home to large Somali and Oromo communities.

Ramla Bile, a Somali American who lives in a neighbourhood adjacent to Cedar-Riverside, has been active in the community for years. She welcomed the broadcast of the call to prayer, saying it will help people "feel the spirit of Ramadan in a way that is meaningful".

But she also hopes the city of Minneapolis, which provided the noise permit for the broadcast, will make bigger strides to invest in the community in even more tangible ways.

"There's been a lot of need and a lot hurt in the community in light of the COVID-19 pandemic. And then there's the ongoing conversation you've been having," she said, pointing to deep-seated Islamophobia, systemic racism and the need for infrastructure projects like sprinkler systems in high-rise buildings. 

"We need to see greater investments to support the most vulnerable members of our community," Bile said referring to the neighbourhood's elders, undocumented individuals, low-income families and others.

"Right now, we're waiting for a bailout for our micro-businesses who comprise our Somali malls, or a rent freeze for neighbourhood residents," she added.

For CAIR's Hussein and Imam Adam, they hope this Ramadan's call to prayer helps encourage other communities around the US to take similar steps.

"This will hopefully inspire others … to think about what could happen in future Ramadans and beyond," Hussein said.

Adam added that while the virus has devastated communities and upended daily life, it has also shown that "we're in this together".

"It just shows the significance of the global village and how interconnected and interdependent we are as a world community," he said. "I think that there will be a lot of change in our way of life for the better. I hope so."

 

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