Italy to vote for new pm on Monday

Italy's parliament will begin voting on Monday for a new head of state, with Prime Minister Mario Draghi among the most prominent candidates in a wide-open contest that will be closely monitored by financial markets.

There are concerns among politicians in Italy that the result could cause new political uncertainty in the euro zone's third largest economy, which is facing a resurgence of COVID 19 infections and deaths.

More than 1,000 parliamentarians and regional representatives will gather in 1400 GMT for the first round of secret voting to replace Italy s outgoing President Sergio Mattarella, in a process that could take several days.

The winner needs a two-thirds majority in any of the first three rounds, with an absolute majority in the first three rounds.

Draghi, who is the head of a national unity administration, has made clear that he would like the job, which has a 7 year term. There is a reluctance among some parties to back him for fear that his departure could cause political turmoil and an early election.

It would be dangerous to remove Draghi from the post of prime minister at this difficult time, rightist League leader Matteo Salvini said on Sunday, echoing remarks made by his coalition partner Berlusconi.

A compromise is likely to be needed to prevent a stalemate because neither the centre-right nor the centre-left have enough votes to impose a candidate from their own camp.

Silvio Berlusconi pulled out of the race on Saturday, removing an obstacle to cross-party talks. The centre-left had ruled out backing the former prime minister, who was unlikely to garner the broad support that was traditionally needed.

If Draghi were to become the head of state, a deal on another prime minister would be needed immediately to make sure that instability does not jeopardize Italy's drive to receive some 200 billion euro $226.80 billion of EU pandemic relief funds.

With uncertainty prevailing, the centre- left Democratic Party PD is considering casting a blank vote in the first ballot, while its 5 Star Movement allies have not yet decided on a strategy.

Since Berlusconi's withdrawal, the centre-right parties have made no alternative proposals, but Salvini said the coalition was ready to present several high-profile names for negotiation.

Among the others considered to be candidates are former lower house speaker Pier Ferdinando Casini, former premier Giuliano Amato and Senate speaker Maria Elisabetta Alberti Casellati.

Mattarella has ruled out accepting another term but some politicians have suggested pleading for him to carry on, leaving Draghi as prime minister until Italy s next election in early 2023.