Draghi formally accepts invitation to be Italy's PM

Economist Mario Draghi, once the head of the European Central Bank, confirmed on Friday he had enough support to form a new ruling coalition in Italy.

The country is at a critical juncture as it battles both the medical and economic consequences of the coronavirus pandemic, which struck Italy first outside of Asia almost exactly one year ago.

President Sergio Mattarella asked Draghi to be prime minister after party wrangling brought down the previous administration of Giuseppe Conte. On Friday, Draghi formally agreed to take the post.

Draghi is due to return to the president's office on Saturday at midday to be sworn in. The government must then be approved by votes of confidence in both houses of Parliament, expected early next week.

Main parties pledged support

Following a week of consultations, almost all the main parties from across the political spectrum pledged their support to Draghi, and prominent figures from these groups were named as ministers.

Only the ultra-right Fratelli d'Italia had announced from the beginning that its members would vote against his candidature. 

Luigi Di Maio, a leader of the 5-Star Movement, will remain foreign minister, while Giancarlo Giorgetti, a senior figure in the League party, will be industry minister. Andrea Orlando, from the center-left Democratic Party, will be labor minister.

However, some key posts went to non-affiliated technocrats, including Daniele Franco, director-general of the Bank of Italy, who was named as economy minister and Roberto Cingolani, a physicist and IT expert, who was handed the new role of minister for green transition.

Marta Cartabia, who was president of the Constitutional Court until September 2020, will fill the post of justice minister.

There were only eight women named in the 23-strong cabinet.

Draghi 'saved the euro'

The 73-year-old Draghi, who is credited with having saved the euro, will oversee spending of over €200 billion ($242 billion) in European Union recovery funds. The funds are aimed to relaunch Italy's economy, which has been badly damaged by the pandemic.

Some of the economic pain has been eased by activating existing social amortization programs along with bans on firings and evictions, but some of those are now set to expire. Additionally, experts have long called for an overhaul of Italy's short-term worker layoff program.

Politicians he met this week said he told them he is opposed to fiscal austerity, despite soaring national debt levels, given the importance of protecting social cohesion.

Known for his reserved demeanor, Draghi has kept out of sight during the political consultations and meetings with prospective Cabinet members.

Conte's government was the 66th in the Italian Republic. It had taken office in September 2019. In mid-January, his coalition broke apart in a dispute about the best way to disburse EU aid money to recover from the coronavirus crisis. 

mm/dj (AFP, AP, dpa, Reuters)