The leaders of Italy's grassroots Five-Star Movement and the far-right League party said on Monday they agreed on a government overnight after four days of talks. They have also picked a premier, parliamentary sources told Adnkronos on Monday.
Italy's president Sergio Matarella is due to meet Five-Star leader Luigi Di Maio at the Quiranale palace at 4.30 pm local time and to hold a meeting with Matteo Salvini - head of the League and the centre-right alliance - at 6pm.
If Mattarella approves Di Maio and Salvini's pick of prime minister, in theory, a vote of confidence in the proposed cabinet could follow later in the week in parliament.
The programme of government reportedly agreed by the Five-Star and the League includes lowering the retirement age and tax cuts.
Italy has been in political limbo since the inconclusive 4 March national election in which populist parties made strong gains.
Five-Star is the biggest political party and the centre-right is the largest bloc in the hung parliament. Several previous rounds of talks with Italy's political leaders collapsed amid a mesh of seemingly irreconcilable demands.
