Goria Revives Italy's Coalition, Remains Premier

Associated Press

Giovanni Goria, who resigned as Italy's prime minister last Saturday, told the president Wednesday night that he has succeeded in reviving the same five-party coalition, a presidential spokesman said.

As a result, President Francesco Cossiga rejected the resignation and asked him to obtain a confidence vote in Parliament, spokesman Sergio Berlinguer said.

The announcement came after the tiny Liberal Party, which last week brought down the government, indicated it was ready to rejoin the coalition after winning concessions on the 1988 budget plan.

Goria, a 44-year-old Christian Democrat, went to the Quirinal Palace at 9:30 p.m. Wednesday to report to Cossiga that he was resurrecting his 3 1/2-month-old coalition.

According to a presidential statement read by Berlinguer, Goria said he found "convergence to continue the collaboration" of the five parties in the "current structure of government."

The Liberals said they are satisfied with Goria's new proposal to cut public spending by about $1.2 billion and reduce income taxes by an average of 2%.

The Liberals said the compromise plan is contingent on inflation staying near the government's projected rate of 4.5% in 1988.

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