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Barbara McMahon
ROME: The Italian Prime Minister, Silvio Berlusconi, who had been widely expected to resign and form a new government to strengthen his struggling conservative coalition, has refused to quit. After a meeting with the President, Carlo Azeglio Ciampi, in Rome, the 69-year-old Premier said that contrary to reports sweeping Italy, he had not quit. Asked if he had handed in his resignation during the talks, Mr Berlusconi said: ``No.'' He said he would explain the situation in Parliament, but it was unclear when. The conflicting reports followed hours of meetings between Mr Berlusconi and his coalition partners in Rome.
Crushing defeat
The Premier has been under mounting pressure since a crushing defeat in regional elections earlier this month and temporarily losing the support of the Union of Christian Democrats party, headed by the Deputy Premier, Marco Follini. The UDC pulled its Ministers out of the Cabinet and demanded a fresh government with a new platform. The Foreign Minister, Gianfranco Fini, leader of the National Alliance party, said Mr Berlusconi had made a deal with the UDC. The four ruling coalition parties had also reached a tentative deal that included a big reshuffle and policy changes, he said. Mr Fini said that at the meeting at Palazzo Grazioli, Mr Berlusconi's residence in Rome, Mr Follini had been brought back into the fold and had ``renewed his commitment to a new Berlusconi government''. Resigning and immediately forming a new government is a tactic often used by Italian Premiers to strengthen coalitions. But Mr Berlusconi has dismissed it as a remnant of Italy's messy political past. A political crisis has engulfed him over the past few weeks, prompting speculation about early elections. - Guardian Newspapers Limited 2005
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