Watch this man. Romano Prodi is not just any other Italian politician or for that matter prime minister. This man is clean, so clean that Italians pinch themselves every morning to make sure they are not dreaming and they really have a prime minister who does them proud. That has not happened in Italy in recent memory. And this self-effacing social democrat is committed to making his country a major European power - so committed that Italians are willing to bear all his austerity plans so long as he stays in the driver's seat."II professore" as the 58-year-old Prodi is called is the new face of Italy. Modesty, moderation and discreet appeal to social catholicism were the trump cards of this professor of economics who hired a bus and toured the country two years ago during his election campaign. Once in office, Prodi delivered on one of his most important campaign promises - to ready Italy and its money managers for entry into the European Monetary Union (EMU) in the first wave that begins January 1, 1999. As the rest of Europe raised its eyebrows and said Rome would fudge its figures to meet the strict EMU criteria, Prodi put his head down and worked. Europe's new rules said government deficit and debts must be no more than 3 per cent in addition to a series of austerity measures for countries seeking EMU entry. That required Italians to make significant sacrifices. Last October, the Prodi Government almost collapsed when the Communists said they opposed the measures. Prodi threw in the towel.The entire country was on its knees asking him to stay and the Communists agreed to a deal Prodi tabled. They were happy, but so was the stock market. Two days before Christmas, the Prodi Government passed the 1998 austerity budget into law, confident that it would be one of the founder members of European economic and monetary union. Prodi said the deficit to the gross domestic product ratio for 1997 would be 3 per cent or even a little lower - Italians were singing. Prodi promised to work harder.Italians are businessmen in their heads and will travel halfway across the world to make it work. Popular legend has it that when Neil Armstrong arrived on the moon he was greeted by cheering Italians. This country of 60 million people has over 2 million registered companies. That's one company for 30 people. Italians say they need Europe as much as Europe needs them and point to the small and medium sector as holding part of the key to the miracle. In the Vicenza area (population: 2 million) between Milan and Venice are leather companies that produce 40 per cent of what Europe consumes and 8 per cent of international requirements.Vincenza is one of Europe's richest regions. One out of every fifth sofa in the United States comes from a company in southern Bari. Dotted across the north are hundreds of companies making anything from bathroom fittings to tiles, to international fashions to engineerings goods, all rearing to go. Italy needs a bigger canvas to grow. Prodi seems to have a blue-print.Several things make Prodi possible. One is the man himself. An economist who has taught at Harvard and the London School of Economics "Il professore" has surrounded himself with technocrats and people who know what they are talking about. People trust him and that is saying a lot in a country where corruption was rampant and politicians were linked to the mafia and where governments fell once every six months. Political Italy and political India had a lot in common.The operative word in that comparison is "had". The new face of Italy, cleaned up and continuing to clean up makes even the mighty Germans sit up and ask how they do it. Italians say the turning point came in 1992 when Giovanni Falcone, an anti-Mafia magistrate was assassinated. His killing, followed two months later by that of colleague Paolo Borsellino - both blown up by bombs - turned public attitude against organised crime and the willingness of the Government to fight it. The Mafia had overstepped itself.The challenge to the authority of the State become too great to ignore and people wanted a real response from the Government. Italy went to war with itself and launched operation "clean hands". Corruption scandals spread through the top tiers of Italian political and corporate life and public outrage demanded fundamental political reform. The churning had begun.Prodi came at the end of this period of turmoil with a personality that matched his programme. He has a vision for Italy but this man from Bologna also intends placing Italy clearly within Europe's political and economic debate. The Germans and the French are listening - no mean achievement for Prodi in Europe's caste system.
