Spain's acting PM warns forming new government still 'a wish'

Spain's acting prime minister warned Saturday that forming a government remained a "wish", in downbeat comments ahead of a crunch parliamentary vote over the country's political deadlock. Speaking to supporters of his conservative Popular Party (PP), Mariano Rajoy also warned that the country's economic recovery could be jeopardised if Spain once again fails to form a government after two inconclusive elections. Spain would be Europe's laughing stock if voters had to go back to the polls for a third time, added Rajoy, whose PP has led the government since 2011. "The formation of a government in Spain is today still more of a wish than a fact," he told a party rally in the northwestern region of Galicia, a PP stronghold. "Things are going well (economically) but they can stop going well," he said. Spain suffered a painful economic slump when a housing bubble burst in 2008 but has bounced back to become of the eurozone's most dynamic economies, growing for 12 straight quarters. But the country is in political turmoil, without a fully-functioning government for eight months as squabbling political parties have been unable to reach any kind of pact following inconclusive elections in December, and again in June. Rajoy's pessimistic comments came ahead of a key first parliamentary confidence vote on Tuesday over his bid to win another term in power. His PP party won the most number of seats in both elections but failed to gain a majority and has so far failed to secure support from other parties to form a minority or coalition government. It has been in talks with its upstart centrist rival Ciudadanos which came fourth in the election with 32 seats but no final agreement has been struck. Even if Ciudadanos agrees to support Rajoy's PP in the confidence vote, the two political groups will still fall short of the needed majority of seats. Rajoy therefore needs the support of the Socialists, his traditional rivals, or at the very least their abstention when he asks for a confidence vote in parliament. So far they have refused to help him. The Socialists finished second in the last election with 85 seats, 52 less than the PP and its worst ever result. "I think it would be hugely irresponsible if those who have 52 seats less than those who won the elections once again blocked the formation of a government in our country," Rajoy said. In the first confidence vote, Rajoy must win an absolute majority. Failing that, he would face a second vote on Friday in which he would only need more votes in favour than against.