Mario Monti’s decision to step down as Italy’s prime minister has rattled markets, which had grown comfortable with the relative stability of technocratic government. Rome’s borrowing costs shot up and the stock market dropped after his resignation announcement.
But Mr Monti made the right choice. On Friday, the secretary of Silvio Berlusconi’s centre-right People of Liberty party declared that the government had reached the end of the road. In theory, Mr Monti could have asked for a formal vote of confidence. But seeking to strike a deal with Mr Berlusconi would only have added to political uncertainty. Besides, there should be no compromise with the media tycoon-cum-politician who has all too often sacrificed the future of his country to his own personal interest.
The general election originally scheduled for the spring is now likely to be held in February. The return of politics to Rome is to be welcomed. The technocratic interlude was needed to help Italy to restore its credibility. However, only an elected government will have the legitimacy to implement the reforms Italy needs. The economy must be guided out of deep recession and there is a mountain of debt to be dealt with.