Italy is facing the prospect of early elections after prime minister Mario Monti said he would soon resign.
Mario Monti said he would step down as soon as parliament approved next year's budget, which means elections could now be as early as February 2013 - well before the government's mandate runs out in late April,2013.
Mario Monti said he took his decision after Mr Berlusconi's People of Freedom (PDL) party withdrew their support for him last week
Party chief Angelino Alfano told parliament on Friday that Italy's debt, unemployment and tax rates had risen while the economy had plunged since Mario Monti had taken over in November 2011. Mr Monti leads a non-elected cabinet of technocrats.
Following talks between Mario Monti and Italian President Giorgio Napolitano on Saturday Dec 8,2012, the president's office said Mario Monti "does not think it possible to continue his mandate and consequently made clear his intention to present his resignation."
Most recent polls suggest Mr Berlusconi's party is running in second or even third place, with the main centre-left Democratic Party led by Pier Luigi Bersani expected to win the election.More than three million centre-left voters took to the polls earlier this month to nominate Pier Luigi Bersani as their candidate, a former communist with liberal reformist credentials and experience in government.
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