League seeks to trigger elections:

Italy’s League filed a no-confidence motion to bring down its own governing coalition on Friday, a move that the party’s populist chief, Matteo Salvini, hopes will trigger snap elections and install him as the nation’s new leader.

With parliament in summer recess, Salvini has summoned all League lawmakers back to Rome on Monday and he is pushing for a vote on the motion as early as next week, while opposition parties would prefer to wait until Aug 19-20.

The decision lies with the heads of political groups in the Senate, who will meet on Monday to set a timetable.

“Those who waste time are hurting Italy to save their post,” said Salvini, who complains the coalition with the anti-establishment 5-Star Movement is unworkable after months of open bickering.

Salvini’s shock decision on Thursday to pull the plug on the 14-month old government threw the euro zone’s third-largest economy into deeper political uncertainty just as it was due to start 2020 budget preparations.

An election could be held as early as October.

Investors reacted by selling off Italian government bonds and stocks on Friday. Yields on 10-year bonds touched a fiveweek high, their biggest daily rise since May 2018. The Italian blue-chip index fell 2.3%, with banks leading the decline and helping push other European stock markets lower. (RTRS)