Italian Prime Minister Mario Monti announces austerity measures which followed the cabinet's approval of a mix of tax hikes, pension reforms and incentives to boost growth.<br/> The measures come ahead of a crucial week since the Euro creation, as EU leaders are due to meet to agree a broader rescue plan for the bloc.<br/> (SOUNDBITE) ITALIAN PRIME MINISTER, MARIO MONTI, SAYING (Italian):<br/> "We want to have the Italian economy recover, we want to give Italy back a great weight in the international scene and particularly in Europe. We also want to help politics, that we respect, to restore a more serene relationship with public opinion because a country needs good politics."<br/> Showing the emotional impact of the cuts, Italian welfare minister broke into tears while presenting measures that will mean an effective cut in income for many pensioners.<br/> Italy has been at the centre of the crisis since mid-year, when its borrowing costs began to approach the levels which forced Ireland, Greece and Portugal to seek an international bailout.<br/> Marie-Claire Fennessy, Reuters
