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November 13, 2011

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Berlusconi expected to resign as economic crisis persists

EMBATTLED Italian Premier Silvio Berlusconi was expected to resign late yesterday after parliament's lower chamber passed European-demanded reforms, ending a 17-year political era and setting in motion a transition aimed at bringing Italy back from the brink of economic crisis.

Respected former European commissioner Mario Monti remained the top choice to try to steer the country out of its debt woes as the head of a transitional government, but Berlusconi's allies remained split over whether to support him.

Their opposition probably will not scuttle President Giorgio Napolitano's plans to ask Monti to try to form an interim government once Berlusconi resigns, but it will likely make Monti's job more difficult.

Napolitano appealed yesterday for lawmakers to put the good of the country ahead of short-term, local interests - an indirect appeal to members of Berlusconi's party and the allied Northern League to work with the new government.

"All political forces must act with a sense of responsibility," he said.

In that vein, Berlusconi invited Monti for lunch yesterday, reports said.

But Interior Minister Roberto Maroni of the Northern League made clear the League would be an opposition party to any Monti government, refusing to be part of any broad-based coalition Monti might try to form.

Berlusconi's resignation was expected after the Chamber of Deputies approved economic reforms, which include increasing the retirement age starting in 2026 but do nothing to open up Italy's inflexible labor market.

The Senate on Friday easily passed the measures, paving the way for Berlusconi to leave office as he promised to do after losing his parliamentary majority on Tuesday.

It's an ignoble end for the 75-year-old billionaire media mogul, who came to power for the first time in 1994 using a soccer chant "Go Italy" as the name of his political party and became Italy's longest-serving post-war premier.

But his three stints as premier were tainted by corruption trials and charges that he used his political power to help his business interests; and his last term has been marred by sex scandals, "bunga bunga" parties and criminal charges he paid a 17-year-old girl to have sex - accusations he denies.




 

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