The YoungWorld

Darkest Souls

The lower house of Italy's parliament has passed a package of austerity measures demanded by the EU and designed to restore markets' confidence in the country's economy.

The vote paves the way for Silvio Berlusconi to resign as prime minister. He is due to see the president shortly.

A technocrat government led by ex-EU commissioner Mario Monti seems likely.

The austerity package includes a rise in VAT and the pension age, rising fuel prices and the sale of state assets.

Mr Berlusconi, who lost his parliamentary majority in a vote on Tuesday, promised to resign after the austerity measures were passed by both houses of parliament.

Members of the lower house voted 380-26 with two abstentions, after the Senate approved the measures easily on Friday.

Mr Berlusconi is now expected to tender his resignation to President Giorgio Napolitano at 1930 GMT.

Mr Napolitano could then formally ask Mr Monti or another candidate to form a government of technocrats.

"We thank Berlusconi for what he has done for all these years," said Fabrizio Cicchitto, an MP from the prime minister's People of Freedom Party.

Opposition MP Dario Franceschini welcomed his expected resignation.

"Today the curtain falls on a long and painful phase of Italian political history," he said.

"The country wants to turn the page and start again."

'Bye bye'

Meanwhile crowds gathered outside the parliament, shouting "Resign" and "Bye bye Silvio".

Italy's leaders are desperate to signal that they can bring the country's finances under control, says the BBC's Alan Johnston in Rome, and they are moving fast.

Mr Monti, a well respected economist, is exactly the sort of man that the money markets would like to see take charge at this time of crisis, our correspondent says, but there is significant opposition to him within the country.
_________________
- A gem is not polished without rubbing, nor a man perfected without trials-