Italian Prime Minister Silvio Berlusconi repeated on Tuesday that reform measures promised at an EU summit last week would be applied with determination and he would explain them to leaders from the Group of 20 economic powers in Cannes this week. At the same time a senior member of the centre-left Democratic Party said the party had presented a request to President Giorgio Napolitano to appoint a new government to deal with the crisis facing Italy. As yields on Italian bonds rose to record levels, Berlusconi said Greece’s decision to hold a referendum on the terms of a bailout package was weighing heavily on markets.
“This was an unexpected choice which is creating uncertainty after the recent European Council meeting and on the eve of the important meeting of the G20 in Cannes,” he said in a statement.