Italian Prime Minister Paolo Gentiloni’s new cabinet was officially sworn in Monday as the eurozone’s third largest economy raced to reassure Europe its political crisis was over.

Gentiloni, 62, called to head up a new centre-left government after prime minister Matteo Renzi’s resignation following a crushing referendum defeat, kept the line-up largely unchanged from the outgoing administration to ensure political stability.

The new government will guide Italy to elections due by February 2018, but which could come up to a year early.

In a time-honoured tradition, Renzi symbolically handed over power to Gentiloni by passing him a little silver ceremonial bell.

Gentiloni named Angelino Alfano — a former protege of ex-prime minister Silvio Berlusconi — to take over his role as foreign minister.

Pier Carlo Padoan stays on as finance minister in a move likely to reassure the markets Italy can deal with a brewing crisis in the banking sector.

Alfano’s post as interior minister under Renzi goes to Marco Minniti, who was the state secretary with responsibility for the security services in the outgoing administration.

Source: AFP