Draghi calls on political parties to recommit to unity government, Italian debt advances

Italy's Prime Minister called on all political parties to recommit to the ruling unity coalition, arguing that that was what Italians want.

"[A technocrat premier] "who has never presented themselves before voters (at elections) needs broad support (from the political parties)," Mario Draghi said in a speech before the Senate in Rome, ANSA reported.

"Parties, are you ready to reconstruct this pact?

"We are in this chamber because the Italian people asked us to. It is an answer that you must give not to me, but to all the Italian people".

Draghi had offered to step down the week before - potentially risking early elections - after the left-wing M5S movement opted not to back him in a confidence vote in order to pressure him on its proposals for a minimum wage.

The Italian republic´s President, Sergio Mattarella, rejected Draghi's resignation and asked him to try and rebuild the coalition.

A vote on Draghi's speech was now scheduled for 1730 BST in the Senate.

Draghi reportedly highlighted the support given to him by approximately 2,000 majors and that from front-line health workers during the pandemic.

"Italy has lots to say about going beyond the principle of unanimity in the EU and budget (rule) reform," Draghi also said.

"But a strong, cohesive government is needed to do all this.

"Italy needs a new concrete, honest pact of development."

He reportedly also made a nod in his remarks to M5S's demands for a minimum salary and to the right-wing League party's calls for lower taxes and greater autonomy for regions.

Many lawmakers applauded his speech, ANSA reported, but none of those from M5S did so and only very few from the League joined in.

As of 1143 BST, the yield on the benchmark 10-year Italian government bond was retreating by 15 basis points to 3.185%.