Uruguay

Change of Government in a Stable Democracy: Yamandú Orsi Becomes the New President of Uruguay

Last Sunday, November 24, almost 3.5 million Uruguayans elected Yamandú Orsi as president of the country for the next five years in a runoff election. Uruguay, a beacon of democratic stability in the region, is an exceptional case in the face of growing regional and global polarization. The country has low levels of polarization, both from a political and ideological perspective - with no extremist candidates with a chance of governing - and from a social perspective.

After five years of Partido Nacional, Frente Amplio returns to government

Yamandú Orsi, candidate of the leftist coalition Frente Amplio, has won with 49.8% of the votes, beating Partido Nacional candidate Álvaro Delgado, who reached 45.9%, with more than 98% of the votes counted. Orsi, 57 years old, will therefore be the fourth president in the history of the Frente Amplio. The history professor and former mayor of Canelones, who will take office on March 1, 2025, has the support and backing of former president José Mujica. His political career began in the department of Canelones, neighboring the department of Montevideo, where he stood out for his management skills and his connection with the grassroots committees.

In the first round on October 27, Orsi obtained 43.7% of the votes, which made him the best positioned candidate for the second round. During his election campaign he stressed the importance of honesty and proposed policies focused on fighting child poverty, expanding early childhood education and creating more full-day schools. His message has been to promote gradual change while maintaining the stability that characterizes Uruguay.

The Partido Colorado, a liberal party, obtained a good result in the first electoral round, obtaining 16.1% of the votes, which was not enough to reach the second round for the presidency. However, the good electoral result will allow it to play a key role in Parliament. The reason is that, for the first time, the Frente Amplio will not have a parliamentary majority. Although the leftist coalition will have 16 of the 30 senators (17 if future vice-president Carolina Cosse is included) and, therefore, a majority in the Senate, it will not have a majority in the Chamber of Deputies, where it will have 48 deputies, two less than the 50 needed to guarantee the approval of the laws it supports.

The alternation in power of political parties in the country reaffirms its democratic functioning. After 15 years of Frente Amplio government, Lacalle Pou assumed the presidency. After these last 5 years, Yamandú Orsi has the responsibility of leading the next Frente Amplio government. Lacalle Pou, if he so wished, would have the possibility of being a candidate in the next elections, after leaving office with a high percentage of approval during his term of office. Immediate reelection is not constitutionally possible in Uruguay.

Uruguay free of political polarization

Unlike most Latin American countries, the two candidates who faced each other in the second round of elections, Yamandú Orsi and Álvaro Delgado, did not promote radical speeches, did not threaten democratic institutions, and recognized their political adversaries as legitimate rivals and not as enemies. This mutual respect, reflected in the trust and respect for the country's institutions, reinforces Uruguay's reputation as one of the strongest democracies in the world, ahead of countries such as the United Kingdom, France and the United States.

In a region where the victory of political opponents is often not accepted, Uruguay has a political culture that facilitates the recognition and acceptance of electoral results. Lacalle Pou immediately contacted Yamandú Orsi to make himself available to start working on a smooth and serious transition of government. Thanks to an independent and reliable electoral system, Uruguay rarely experiences violent protests, contentious clashes, or family feuds over political differences.

Strong institutions and social cohesion are the pillars of the country's political and social culture. According to the World Bank, Uruguay has the lowest level of inequality in Latin America and the largest middle class in the region, representing more than 60% of the population. This context is accompanied by sound public policies, such as a universal health care system, unemployment insurance, and child and elderly care benefits. Corruption is also low compared to the rest of Latin America, which fosters trust in public institutions.

Uruguay's example shows that overcoming polarization requires not only moderate political leadership, but also strong institutions and public policies that reduce the possibility of the emergence of polarizing leaders. Uruguay's democracy is not by chance, but is the result of a collective effort to build an inclusive and resilient society that puts the country's interests above all else.

Uruguay as a strategic partner for Germany

The country's political and social stability makes Uruguay an interesting strategic partner for Germany, with great potential for expanding political and economic cooperation.

Uruguay aims to become a center of innovation in the region. To this end, it has created a favorable environment for attracting investment with tax incentives (e.g. the free trade zone law) that enable the establishment of regional logistics and technology centers. There are also incentives for companies to relocate their operations to the country (as in the case of Google and Microsoft, which have established regional operations centers in the country). There are also potential points of interest for German companies in the field of renewable energies. For example, 98% of the energy generated in the country comes from renewable sources.

Conclusion and prospects

Yamandú Orsi will be the president of Uruguay for the next five years. The electoral result reflects a country practically divided into two halves politically, despite this panorama, the country is far from the polarization that is a growing trend in the world. The change consolidates the political and social stability of the only full democracy in the region. Uruguay remains a politically and economically attractive partner for Germany and Europe. This potential must be seized before geopolitical and economic competitors do so, like first of all China. This includes, in particular, the overdue completion of the European Union - Mercosur agreement.