The Italian senate has approved an economic reform package.
The austerity measures are part of efforts to end the country's and the Eurozone's spiralling debt crisis.
The senate voted by 156 - 12 in favour. The bill now goes to the lower house, the chamber of deputies, which will meet in special session at the weekend.
Observers say the Italians are desperate to show they can do their part and are moving fast.
Final approval of the package should lead to the promised resignation of Prime Minister, Silvio Berlusconi.
He's expected to be replaced by former European Union Commissioner Mario Monti.
But analysts say even then, Italy will face an extremely difficult task in bringing its economy into balance.
The BBC reports the package foresees savings of 59.8 billion euros from a mixture of spending cuts and tax rises, with the aim of balancing the budget by 2014.
They include an increase in VAT, from 20% to 21%, a freeze on public-sector salaries until 2014 and stronger measures against tax evasion, including a limit of 2,500 euros on cash transactions
An EU team has begun work in Rome, monitoring how Italy plans to cut its debt burden, which is 120% of annual economic output (GDP).
The BBC reports Italy has to roll over more than 360 billion euros of debt in 2012.