Italy's Monti seeks to form new government

Italy's new Prime Minister, Mario Monti, is starting work to form a new government to lead Italy out of its acute debt crisis which prompted the resignation of PM Silvio Berlusconi.

The appointment of Mr Monti, an ex-EU commissioner, was announced by Italy's president on Sunday.

Mr Monti said he would to build "a future of dignity and hope" for Italy's children.

Monti’s Government

Reports say Mario Monti mentioned some reservations, though it's not clear what he meant by that.

It said the new PM wants to provide an air of real sincerity about what is to come and his dedication to that.

Monti gave a rousing speech, which highlighted that Italy is not essentially a financial disaster.

Mr Monti hinted that he wants to restore Italy's reputation financially to match the size of its economy rather than the down talk about the credibility it has had over recent months.

Appointments

Mr Monti, a 68-year-old economics professor, refused to set a timetable for the formation of a new government, and would not say who he planned to nominate as ministers.

But he said consultations would start on Monday.

The formal confirmation of the new technocratic government could take several days.

Italy's borrowing costs have spiked, threatening the eurozone.

Hailing Mr Monti's appointment, EU leaders vowed to monitor Italy's austerity measures.

Monti’s nomination

President Giorgio Napolitano held 17 meetings with senior politicians before nominating Mr Monti as Prime Minister.

Most parties, including Mr Berlusconi's, approved his nomination.

Speaking to reporters shortly after, Mr Monti said: "Italy must again be and must increasingly be an element of strength, not weakness, in a European Union that we helped found and in which we should be protagonists."

We will aim at solving the financial situation and resume the path of growth, while remaining attentive to social equity," he stressed.

Mr Monti promised he would act "with urgency" and said he would work with parliament "to get out quickly from a situation which has elements of an emergency but which Italy can overcome with a united effort".

Mr Napolitano said the nomination was not about overturning the result of the elections of 2008 but pointed out that Italy needed a government that "could unite the diverse political forces in an extraordinary effort warranted by the current financial and economic emergency".

The former Prime Minister, Silvio Berlusconi, was forced to resign when the yield on Italian bonds rose to over seven per cent last week, the rate at which Greece, Ireland and Portugal were obliged to seek bailouts from the EU.

BBC/Adekusibe/Williams