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Mariano Rajoy sworn in as Spain's PM

Mariano Rajoy sworn in as Spain's PM Mariano Rajoy on Saturday was approved for a second term as Spanish prime minister. He is due to unveil a new cabinet this week that must build cross-party support to pass reforms in a fragmented and hostile parliament.

The lawmakers on Saturday voted for conservative leader to form a minority government after 10 months of political deadlock.

He is set to outline his team on Thursday and most are expected to come from within the ruling People's Party (PP).

Rajoy, who sworn in on Monday, governed with an absolute majority for four years from 2011. He lost that in 2015 and while the PP remained the largest party in parliament, he was unable to find coalition partners for a majority government, even after a fresh election in June this year.

After the two inconclusive elections since last December and months of infighting between parties, Rajoy's minority administration has pressing reforms and legislation to tackle.

First will be a new budget for 2017 to appease Brussels and meet next year's deficit targets, which will require either spending cuts or new formulas to raise extra revenues.

Many in Spain are skeptical about how productive the government can be with just 137 seats in the 350-strong parliament.

Even with support from the liberal Ciudadanos, Spain's fourth-largest party, Rajoy will struggle to achieve any form of stability without piecemeal agreements with the second-placed Socialists.

The center-left party reluctantly allowed Rajoy to return to office on Saturday by abstaining in a confidence vote, but has vowed to fight his policies.
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