The Italian president began talks with party leaders yesterday on a future government, a day after Prime Minister Silvio Berlusconi resigned.
Berlusconi, his popularity sagging amid concerns about the economy and opposition to Italy's involvement in Iraq, stepped down on Wednesday, but said he was determined to regain the country's confidence with a new Cabinet.
President Carlo Azeglio Ciampi has two options -- to dissolve parliament and call early elections, or to designate a premier to assemble a new government. He is widely expected to tap Berlusconi to form a new Cabinet to serve until the end of the legislature in the middle of next year.
Resigning and then immediately shuffling the government is an old trick of Italy's complicated political system, and has been used by premiers to strengthen faltering coalitions.
Berlusconi, who was elected in 2001 and had been leading Italy's longest-serving postwar government, had resisted the move, sensing it would undermine his image as a new-style politician. On Wednesday, he suggested he would have preferred to stay.
"One can't always get what one wants," he said, acknowledging the end of his ambition to head Italy's first postwar government to serve an entire five-year term.
But the resignation, which he submitted to the president, is expected to enable Berlusconi to end weeks of infighting within his conservative coalition. His allies had demanded that he step down and revamp the Cabinet following an embarrassing defeat in April 3-4 regional elections.
Berlusconi is staying on as caretaker, and the Apcom news agency quoted him as saying that he expects the crisis to be over by the end of the week. He reportedly said he would not change many ministers, but did not give details.
The resignation was welcomed by his allies, who had demanded it after the electoral defeat.
"His speech was excellent," said Gianfranco Fini, who serves as deputy premier and foreign minister.
In Wednesday's address to the Senate, Berlusconi appeared to appease some requests from his allies when he said the new platform would focus on aiding Italy's underdeveloped south and financially pressed families.
The economy is high on the list of worries. Italy's economy grew by 1.2 percent last year compared with an average 2 percent in the 12-nation euro zone, raising pressure on the government to contain its ballooning deficit under EU rules.
The center-left opposition has been pressing for early elections, emboldened by polls suggesting they could win. In tune with most Italians, the opposition was against Berlusconi's decision to send 3,000 troops to Iraq.
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