Belgium Starts New Coalition Talks with New Leader

Belgium's political landscape remains tumultuous following the collapse of coalition talks aimed at forming a new government. King Philippe intervened on Friday, appointing Maxime Prévot, leader of the Walloon centrist Committed Ones party, as a mediator to facilitate discussions among the five involved parties. Prévot is expected to work towards reconciling their differing positions and will report back by September 2. The urgency of the situation is underscored by looming European Union deadlines, including the nomination of an EU commissioner by the end of August and a multi-annual budget deficit reduction plan due by September 20. The coalition negotiations, which initially sought to establish a center-right cabinet led by Flemish nationalist Bart De Wever of the New Flemish Alliance (N-VA), faltered over a contentious capital gains tax proposal. This tax was deemed essential by the center-left Forward party to address Belgium's budget deficit, currently at 4.4 percent of GDP, but was met with staunch opposition from the Walloon center-right liberals of the Reformist Movement (MR). Both Forward and MR reiterated their positions during a meeting with the king, highlighting the deep divisions within the coalition talks. Forward's leader, Conner Rousseau, emphasized the need for collective effort, particularly from wealthier sectors, while MR lawmaker Dennis Ducarme expressed his party's resistance to imposing new taxes after their electoral victory. The political stalemate continues to pose significant challenges for Belgium's governance and fiscal responsibilities.