News Analysis: Amato Faces ChallengesAs Giuliano Amato was sworn in on Wednesday as head of Italy's 58th government since World War Two, Italy's "Dr. Subtle" also knows there are lots of challenges in front of him.It is a tough situation in which Amato has been chosen prime minister. The ruling center-left coalition was defeated in local elections on April 17. As a result, the Prime Minister Massimo D'Alema resigned. The independent Amato became the coalition's best bet. Although the center-right coalition is the minority in parliament, they still plan to hold the general election early, which of course places pressure upon Amato's government. On May 21, Italians will be called to vote in a referendum that aims to scrap the proportional representation element of the electoral system. Some small parties oppose such a reform because they could lose their seats in parliament, so the small parties in the center-left coalition will cooperate with the center-right coalition against Amato, which could cause instability in the government. The third challenge is Amato's economic and social reforms. Amato promised to change the systems of annuity, social security and medical care, but such reforms have been rejected by Italy's three labor unions. If Amato continues his plans of reform, it may arouse the middle and lower class Italian people's anger and could affect the center-left coalition's success in next year's elections. Amato is no stranger to tough tasks, and he earned the nickname "Dr. Subtle" for his skills of handling the economy the last time he was premier. He can count on his skills, experience and prestige to hold the coalition together, but there is a long road ahead for him to run, observers say. |
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