Italy's premier Giuseppe Conte was on Monday due to address the Italian Parliament on mooted reforms to the European Stability Mechanism - the eurozone's bailout fund - an issue that has divided the ruling centre-left coalition.
The government plans to hold a parliamentary vote next week on the proposed reform of the ESM. The reforms would give the fund a wider mandate to manage financial crises and more monitoring powers over eurozone countries, possibly requiring them to restructure government debt.
The pro-EU Democratic Party supports the planned ESM reforms, while the anti-establishment 5-Star Movement wants to block approval until plans for wider European banking union are clarified.
Hinderance from Italy could prevent the 19-member eurozone from agreeing on ESM reforms this month. Observers say Conte is likely to request an extension to introduce amendments that are acceptable to 5-Star - the senior coalition partner.
Italy has a huge public debt over two trillion euros and the second largest public debt to GDP ratio in the eurozone after Greece.
