Italians may be returning to the polls

ROME: Lastditch efforts to form a government in Italy showed little sign of succeeding yesterday, with major parties calling instead for repeat elections in July, a vote investors fear could become a de facto referendum on the euro.

Prime ministerdesignate Carlo Cottarelli, tasked by the head of state with calming political turmoil and overseeing fresh elections after the summer, has failed so far to find support from any major party for even a stopgap administration.

Cottarelli met the head of state, President Sergio Mattarella, yesterday for brief informal talks, a presidential source said.

The major parties are calling instead for Mattarella to dissolve parliament immediately and send the country back to the polls on July 29, less than four months after the inconclusive March 4 vote.

The situation, though, remained fluid and unpredictable with some Italian newspapers holding out the prospect of a lastminute deal to avoid repeat elections and installing a ruling coalition of the two antiestablishment parties.

The deadlock follows an aborted attempt by the 5Star Movement and rightwing League to form a government.

They dropped the plan at the weekend when Mattarella vetoed their choice of a eurosceptic as economy minister. — Reuters