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(en) Italy, UCADI #203 - Political Observatory (ca, de, it, pt, tr)[machine translation]
Date
Fri, 23 Jan 2026 07:39:25 +0200
Bulgaria ---- The institutional crisis in Europe's poorest country,
Bulgaria, continues; for the eighth consecutive year, the government has
resigned, and a difficult crisis looms, possibly leading to a recourse
to the polls. Following street protests led primarily by Generation Z,
the country's youth, inspired by the anti-corruption movement used as a
rallying cry in Balkan countries and used by forces inspired by those
directing EU policy in Brussels, hundreds of thousands of people took to
the streets and squares. The protests primarily involved the middle
class, affected by the contents of next year's budget law, which
includes a tax increase on corporate profits and higher contribution
thresholds for workers, along with new centralized procedures for cash
flow management. Concerns surrounding the country's introduction of the
euro, with accession to the European Monetary System scheduled for
January 1 of this year, have further exacerbated the situation. Given
previous experiences with this in other countries, there are fears that
the exchange rate will lead to further price increases, to the detriment
of the population and the benefit of speculators.
Especially in the capital, Sofia, protesters (approximately 150,000)
have called for the resignation of Rosen Zhelyazkov's center-right
government, which has been in office for a year. Zhelyazkov preempted a
parliamentary vote from which it would likely have emerged unscathed
once again, deeming it more appropriate to hold elections. From
experience, he knows well that while protesters' chambers manage to
prepare in the streets, when it comes to voting and addressing the
country's core population, the orientations can be different. The
clienteles that link the parties to the lower strata of the country's
population are too broad. The head of the ruling party, GERB Boyko
Borisov, the mastermind of Bulgarian politics for the last 15 years and
the main target of public outrage, is also counting on the support of
Delyan Peevski's Turkish minority party to turn things around.
As is standard practice, following the resignation, the President of the
Republic initiated a process of election, open to active involvement in
the country's politics. Consultations have been launched to form a new
government, which would address the difficult economic situation created
in the country by sanctions against Russia, the interruption of
affordable gas supplies, and the loss of the Russian market. The
Bulgarian Parliament approved the resignation with 127 votes in favor,
and the Cabinet will now continue to function until a new government is
elected. President Rumen Radev has already called on parliamentary
groups to form a new government. If they fail-which is likely-he will
appoint an interim government to govern the country until new elections.
However, whoever wins the election is unlikely to be able to stem
widespread corruption, an inefficient administration, and a stalemated
and familist political system, as an overhaul of the entire political
system would be necessary. While it's true that Bulgaria has experienced
a positive economic trend in recent years: GDP grew by 3.4% in 2024, and
a stable increase of around 3% is expected for the period 2025-27.
Economic growth, however, has been accompanied by a sharp increase in
prices and public spending: all issues that have exacerbated social and
economic tensions between various sectors of Bulgarian society.
Now the decision is up to the voters, who will again be called to the
polls for early elections, the eighth starting in 2021, and it's
difficult to predict the possible outcomes of the crisis.
Putin's Visit to India
One of the recurring features of the propaganda fed to the public as a
result of the pro-Ukrainian propaganda policy conducted by the press
serving supporters of the conflict is that sanctions against Russia
would isolate the country and cause damage to its economy. If there's
one country for which this isn't true, it's India.
A case in point is Putin's visit to India in early November, prepared by
Trump, who imposed additional 25% tariffs on Indian imports starting in
August 2025, bringing the total tariffs on fashion, textiles, jewelry,
and goldsmiths to 50% overall, to sanction oil purchases from Russia.
Rather than exerting pressure on India, the measure fostered further
rapprochement between Moscow and New Delhi, who were already
coordinating their policies within the BRICS.
During Vladimir Putin's visit, which was greeted triumphantly and
cordially, numerous agreements were signed in the economic, military,
scientific, cultural, and technological fields, including the provision
of Indian labor to Russia (1 million skilled workers). Particular
attention was paid to the energy, oil, and defense sectors.
Specific discussions included increasing Indian imports of Russian oil,
cooperation in civil nuclear power and the supply of power plants by
Russia, and the need to reduce the debt and trade deficit between the
two countries by allowing greater Indian exports to Russia of
pharmaceutical and agricultural products. Indian workers willing to work
in Russia will aid Russia's development and contribute their remittances
to the payment for energy supplies, which will be paid in rubles. The
two countries' cooperation will also extend to the fields of culture,
scientific research, and communications.
Even more significant is the defense agreement, with Russia's commitment
to supply India with S-400 missile defense systems and next-generation
fighters. These will help bind India to the provision of technical
assistance and spare parts for the maintenance of its air force and
defense forces, deepening the collaboration already developed through
joint military exercises. Russia will also provide India with a
nuclear-powered submarine to train its navy's sailors in the operation
of such vessels, while India will make its shipyards available to Russia
for the construction of ships for civilian use as well. It should be
noted that with the decentralization of production, India has become one
of the world's largest steel producers.
The two sides have committed to regulating their economic relations in
national currencies. The strength of ties between the two countries was
underscored by the signing of a joint declaration emphasizing the
growing solidarity between the two countries and the coordination of
their policies. It is noteworthy that this visit comes after four years
and was intended to renew and strengthen the historic friendship between
the two countries, demonstrating the good relations between the Asian
powers of Russia, India, and China, as well as the good relations with
the global south and the strengthening of the partnership.
Netherlands
Negotiations between the parties continue after the October elections.
On November 10, 2025, following a motion presented by D66 leader Jetten,
Parliament has appointed Rianne Letschert as the new informant to lead
the negotiations that should lead to the formation of the new
government, granting her 51 days to form the new coalition with the
participation of the 66 CDA and VVD. She must report on the results of
the negotiations to the House of Representatives by Friday, January 30.
This is the mandate given to Letschert based on a motion that D66 leader
Jetten presented to the House of Representatives on Wednesday. Letschert
must initially ensure that D66, CDA, and VVD reach an agreement, but
also verify whether a minority government, such as one formed by the
three parties, has any chance of receiving approval from both chambers.
"Our mandate is to seek constructive cooperation with the various
parties in this chamber," Jetten stated in the motion. "The outstretched
hand remains both to the left and the right." Granting the mandate to
form a minority government is compatible with Letschert's resume (born
1976). She is president of the board of governors of Maastricht
University and a former professor of international law at Tilburg
University. A member of D66, she has never held political or
government-related positions. She will lead the talks between Jetten of
D66, Henri Bontenbal (CDA), and Dilan Yesilgöz (VVD) for a coalition
agreement to form a new government.
The program discussion covers issues such as immigration, housing,
nitrogen emissions-produced primarily by livestock manure, to such an
extent that they pollute the air, soil, and water-defense, and security.
These discussions will form the basis for the meeting with Wilders' VVD,
which, for its part, fears severe cuts in healthcare and development
funding; D66 and CDA differ with the VVD regarding these funding issues.
The new minority government will have to seek votes in Parliament one by
one and therefore address the concerns of other parties, such as those
of SP leader Jimmy Dijk, who fears the dismantling of social security,
cuts to unemployment benefits (WW), reform of the WIA (Work and Income
according to Capacity for Work) system, and reductions in dismissal
protections. Further concerns are being expressed by right-wing parties,
which eroded Wilders's support in the last elections and are now
demanding compensation, especially regarding immigration, to secure
their votes. In this situation, it will be extremely difficult to find a
compromise and create a new government capable of ensuring the country's
stability, which is required by the economic crisis the Netherlands is
experiencing.
Chile
The xenophobic Nazi, José Antonio Kast, wins the runoff with 58% of the
vote against left-wing candidate Jeanette Jara, who stands at 41%.
Despite being defeated three times in his previous attempts to become
President, this time the Nazi exponent succeeded because he garnered the
votes of the three right-wing candidates in the first round. In his
election campaign, the newly elected President focused on the typical
themes of Trumpian propaganda: security and illegal immigration.
The theme of "security" is in many ways a induced and politically
exploited psychosis: Chile is among the safest countries in all of Latin
America, but the right has cleverly shifted the political debate onto
these issues, using the growing presence of Venezuelan gangs and the
rising homicide rate to support those who promised an iron fist against
crime and illegal immigration. Indeed, Kast has proposed closing the
borders since taking office.
By electing a known supporter of dictator Pinochet, the majority of the
Chilean electorate has clearly demonstrated that 35 years of one of the
longest and bloodiest dictatorships in the world have not been enough
and that Chile is ready to see one of the most staunch defenders of
military rule return to the presidency. There is no doubt that with this
choice, the United States is strengthening its grip on Latin America and
the colonial exploitation of its peoples.
Finland
In Finland, abandoning neutrality has not paid off, and the economic
situation marks the inglorious end of the prosperity of one of the
European countries at the forefront of the so-called "frugal" movement.
The Finnish economy was already in crisis, but this was exacerbated by
its accession to NATO, which has also led to a budget deficit since
2009. With an aging population demanding ever-increasing spending on
public services, the country's financial situation appears extremely
dire, while the Finnish budget deficit is widening and public debt is
growing at an alarming rate. The central government deficit rose to 4%
of GDP in 2024, and the debt-to-GDP ratio is expected to reach 87% by
2027. The situation has been aggravated by the costs of defending a
1,300 km border with Russia, which is difficult to address both
economically and demographically, given that the birth rate is 0.027%
per year. As of December 1, 2025, the population (permanent residents)
of Finland was 5,543,659, including children under 6 years of age -
561,295 people, adolescents (schoolchildren) aged 7 to 17 years -
647,222 people, young people aged 18 to 29 years - 672,169 people,
adults aged 30 to 60 years - 2,376,844 people, seniors aged 60 years and
over - 1,042,208 people, centenarians in Finland over 80 years of age -
243,921, which means that even if all potentially able-bodied citizens
were called up to serve in the army, the population would not exceed
three million. The Finnish armed forces have approximately 21,500 men
and women on active duty, although they also have a reserve of
approximately 900,000 conscripts, who are periodically recalled for
training. This means the government will have to spend millions of euros
on new weapons systems to reinforce the border and to mine it, as it
plans to do.
This is while the country's exports, the main driver of its economy,
have been severely impacted by weak demand from Germany and Sweden, its
major trading partners, and supply chain disruptions, partly due to the
severance of ties with Russia, have negatively impacted the country's
main sources of income and wiped out the economic contribution of
intense Russian tourism.
The unemployment rate is expected to rise dramatically, reaching 8.7% by
2025. The construction sector, once the country's largest employer and
particularly hard hit by population decline, while further problems are
being generated by the public sector, which has supported employment in
recent years, will remain stagnant as the government will have to adopt
fiscal austerity measures.
With labor market reforms, the cuts to social benefits planned for 2025
will be significant, and unemployment has reached its highest level in
15 years, standing at 10.3% in October, according to data published by
Statistics Finland. The rate was more than double, at 22.4%, among 15-
to 24-year-olds.
Compounding the situation, the European Commission has decided to
subject Finland to an "Excessive Deficit Procedure," after predicting
that Finland will have a budget deficit above the EU limit of 3% for the
next three years. This has prompted the government to cut some sectors
of the welfare system, including unemployment benefits, housing
benefits, and some healthcare facilities. The right-wing coalition
government, in office since 2023, aims to "strengthen public finances
and control the growing debt," including by facilitating layoffs to
reduce hiring risks for companies. All this demonstrates that workers
and the population are paying the price for their governments'
warmongering policies.
The Editorial Staff
https://www.ucadi.org/2025/12/23/osservatorio-politico-8/
_________________________________________
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