It was created as a result of the social, economic, and political turmoil of early 1997, spurred by the collapse of pyramid schemes and the subsequent loss of many Albanians' life savings.
[5] The Democratic Party had extended control not only to the executive and the legislative, but also to the judiciary, police, electronic media, but mostly to the secret services, which were the strongest weapon that Berisha and the Meksi Government used against protests, criticism and political opponents.
Lured by very high returns, sometimes up to double-digit interest rates per month, hundreds of thousands of Albanians had invested their savings and in some cases liquidated assets.
On 22 January, the then independent writer Edi Rama, was physically attacked by unidentified individuals, while five days later Socialist Party activist Ndre Legisi also suffered the same fate.
Violence quickly spread to other cities in the south, where insurgents attacked police stations, releasing prisoners, and looting army bases with automatic weapons, grenades, and anti-aircraft guns.
[6] The opposition united in one front called the "Forum for Democracy" (Forumi për Demokraci), saw this as a provocation that would worsen the situation and as an indication that Berisha was ready to retain power at any cost.
[6][12][11] On 9 March 1997, after a meeting with opposition leaders, it was agreed to form an multi-party interim government that would restore public order and create the conditions for early elections before June 1997.
[12][14] On 9 March 1997, then-President Sali Berisha gathered 10 political parties with electoral support at a roundtable to sign the so-called "National Reconciliation Agreement".
Namik Dokle, then chairman of the Socialists, offered as a solution a peripheral figure such as the former mayor of Gjirokastër Bashkim Fino, who was not involved until then with the active politics of the capital.