If Italian voters reject a raft of proposed constitutional reforms on December 4, the government will likely resign.
Should that happen, Parliament could avoid triggering early elections by appointing a caretaker government instead.
The prospect of a victory by political parties that are critical of the eurozone will continue to create uncertainty in Italy and the rest of the currency area.
In case of a “no” vote, the bank and the government, which has heavily backed Monte dei Paschi’s recapitalization plan, may choose to move quickly with a new plan in order to prevent any run on deposits or a wider destabilization of Italy’s banking sector.
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