Centrum Stosunków Międzynarodowych - 05 December 2016: Italy Constitutional Referendum

The constitutional referendum to reform the composition and power for the Parliament of Italy was defeated, with the No camp collecting 59.1% of the votes cast. This is alongside a relatively high turnout of 65.5%. The Prime Minister, Matteo Renzi (of the centre-left Democratic Party) campaigned on a promise to resign if the country rejected his constitutional amendment. Italy’s largest ceremonial head of state, President Sergio Mattarella, told the prime minister to stay on until parliament had approved the 2017 budget. This could be achieved within the next week, after which, the president said, Renzi would be free to tender his resignation.

The anti-establishment parties have urged snap elections in light of the referendum result. There is added risk in Italy, Europe’s third largest economy, as Italy’s weak banks may struggle to contain the fallout.