Italian PM Giuseppe Conte has tendered his resignation to Italy’s president.
President Sergio Mattarella then asked Mr Conte and his government to stay in place as a caretaker cabinet as he hold talks with political parties to chart out the nation’s future.
President Mattarella’s office said in a statement that he will start his consultations with Italian parties on Wednesday afternoon.
The talks aim to explore options that include possibly forming a new governing coalition that has the support of a majority in parliament.
If that proves impossible, the president will dissolve parliament and call an early election.