Slovenia’s Upstart Leader Seeks Bigger Mandate With Snap Ballot

(Bloomberg) -- Slovenian Prime Minister Marjan Sarec unexpectedly stepped down, abandoning a minority government that he said lacks sufficient support in parliament.

The collapse puts the Alpine euro-area country on track for its sixth administration in 10 years, a period that included a double-dip recession, a banking bailout, the criminal conviction of a former prime minister and repeated political upheaval. The resignation also underscores the difficulty faced by newcomers from Italy to Ukraine who’ve tapped into popular anger over traditional politics to win power -- but struggle to rule.

Sarec said he’d submit his resignation to parliament on Monday and talks on a new coalition will begin immediately. But the former television comedian, who unexpectedly stormed to power in a 2018 ballot, said a better option would be snap elections, which may take place in April at the earliest.

“With this coalition and the state of the parliament it was impossible to realize expectations of the people,” Sarec told journalists. “That’s why I think it is best to have early elections.”

Sarec’s five-party coalition had teetered on the point of collapse since a leftist party revoked its support in November, including a bruising squabble over the 2020 budget. Three votes short of a parliamentary majority, the government depends on opposition lawmakers for every new law it proposes.

The yield on 10-year Slovenian bonds fell three basis to 0.16%, the lowest since Dec. 12. President Borut Pahor now has 30 days to propose a new prime minister, who must then win a confidence motion in parliament. If the candidate fails, parliament and parties have two more attempts to name someone to try to muster majority support for a government.

Sarec explained his resignation by saying a fiscal rule that limited spending was too strict and that the country needed to change its approach to health care. The leaders of parties in the coalition complained that they had not been told before the announcement.

One potential motive is that, while Slovenia’s political arena remains fractured with no dominant party, an uptick in support for Sarec’s party may give him an edge. Some of the smaller parties have lost support, and could fail to cross the threshold needed to win seats in an election, potentially giving Sarec more sway from redistributed votes.

‘Unknown Element’

Opposition Social Democratic leader Janez Jansa, who won the most votes in 2018 but was blocked from power by a wide array of parties who oppose him, said an early ballot would be the most favorable outcome.

“The unknown element is that Slovenia has demonstrated in the recent past to be a country prone to sudden political changes,” said Tihomir Cipek, political science professor at the University of Zagreb. “Both Sarec and former Premier Miro Cerar came from parties that didn’t even exist weeks before elections that propelled them to victory.”

The List of Marjan Sarec leads in popularity, with 15% support, according to a poll for 24 Ur television published Sunday. The Social Democrats were in second with 14%. Six parties would make it into the assembly, down from nine in the 2018 election.

Sarec’s announcement followed the surprise resignation of Finance Minister Andrej Bertoncelj earlier in the day. Bertoncelj had battled with other members of the coalition over spending.

--With assistance from Jasmina Kuzmanovic and James Hirai.

To contact the reporter on this story: Jan Bratanic in Ljubljana at jbratanic@bloomberg.net

To contact the editors responsible for this story: Andrea Dudik at adudik@bloomberg.net, Michael Winfrey, Balazs Penz

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