Ireland might see historic coalition between old foes

Significance

The Dail convened on March 10 to elect a taoiseach (prime minister), but no nominee was able to attract the support of anything close to a majority.

Impacts

• Ireland's problems including the decline in public services are unlikely to be addressed while a caretaker government is in place.
• Substantial delays in forming a new government could raise Irish bond prices.
• The future of Irish Water, a body set up to deal with water supply problems whose abolition was demanded by the opposition, is uncertain.
• The crisis may bring about a long-promised reform of the way the Dail operates, giving it a larger and more constructive role.