ROME (Reuters) - Prime Minister Silvio Berlusconi on Tuesday Tried to calm Fears That Could Be swept Italy Into a full-scale Financial Crisis and the opposition to smooth the Pledged pass-through parliament of tough debt-cutting Measures.

"For us, for Italy, then this is the time Certainly not easy year," Said in a statement Berlusconi Which Followed a chaotic morning on Financial Markets in Which Italian 10-year bond yield climbed past 6 percent, Their Highest level in a decade.

Earlier, Economy Minister Giulio Tremonti left a meeting of euro zone Finance Ministers early to return to Rome to wrap up a 40 Approval of one billion euro ($ 56 billion) package of austerity Measures Expected to Be Passed in parliament in the coming days.

"The actions Under discussion in parliament Will Accelerate the reduction of the debt.Already this year, We Will Bring The primary balance surplus Into significant, "Berlusconi&&9;s statement said.

"The crisis IS pushing us to Accelerate the process of correction Extremely Rapidly, to Strengthen STI happy to fully define Further Steps to Bring Into the budget balance by 2014."

With Italy sitting on 1.6 trillion euros of outstanding government bonds, Any Increase in borrowing Costs Could Severely Disrupt efforts to cut debt mountain is equivalent to 120 percent of gross domestic product.

Earlier, the premium investors demand to hold Italian debt Rather Than benchmark German bonds widened to a record 350 basis point. Bank shares aussi Dropped Heavily Before Markets Picked up after news Tremonti WAS Returning to Rome.

"Any delivery from the government on the austerity package, any good news in That respect, IS very, very positive.So if Politicians are getting Their act together, it&&9;s absolutely Good News, "Said Royal Bank of Scotland analyst Paola Biraschi.

Italy, the euro zone&&9;s Third-Largest Economy, HAS Largely Avoided the turmoil hitting Greece, Portugal and Ireland.Targeted goal it has-been over worries about the sustainability of debt burden icts.

"SACRIFICE"

Tremonti HAS overseen a four-year, 40 billion-euro austerity package Designed to Bring Into the budget balance by 2014, Including Measures to Cut Funding to local government and Health Services, and delay retirement.

He HAS faced reluctance and outright resistance from Even Some in the government worried about the electoral impact of unrelenting austerity goal this week&&9;s crisis Appears To Have Overcome Such resistance no fax payday advances.

In a statement worded Gravely, Berlusconi, exude Normally Optimism Who and Who has boasted Hitherto government&&9;s history of success in Keeping out of the crisis, Italy Said HAD Overcome Even more difficulty in times past STI.

"We Must Be united, cohesive in our common interest, conscious efforts and sacrifices That the brief of a Will période correspond to permanent and secure gains, &&9;he said.

The austerity Measures still require Approval in parliament and government opposition goal Both Have Indicated They Want Quickly Passed the package to ReAssure Markets.

Said Senate President Renato Schifani ET Would urge the heads of the different party groups to pass the Measure in the upper house on Thursday.

Italy&&9;s main opposition group, the center-left Democratic Party, Called for the package to Be Approved by the end of the week, while the ruling center-right party PDL WAS Expected to back whatever Suggested Tremonti.

"There May Be possible, limited modifications aim We Will leave the field free for Tremonti, &&9;Anna Cinzia Bonfrisco, a senior LDP parliamentarian, Told reporters.

As the morning on the Markets panic eased, the 10-year Italian / Bund spread Dropped back to 319 points and year auction of short-term bills (BOTs) Passed Off Without Any serious problems.

The positive market reaction to news Tremonti WAS Returning from Brussels Underlined the marginal position taken in the Berlusconi HAS crisis.

Reeling from the 560 million euro ($ 801 million) holding company Fininvest penalty history WAS Ordered to pay rival Carlo De Benedetti at the weekend, Berlusconi HAD not spoken in public last week sincere.

Markets plunged on Friday After a newspaper interview in Which criticised the Berlusconi Tremonti Sometimes abrasive for not Being a "team player," a remark Which Underlined persistent tensions in the government.

(Additional reporting by Francesco Guarascio in Brussels, Ian Simpson in Milan, Giuseppe Fonte in Rome; Writing by James Mackenzie, editing by Robert Woodward)

Italy&&9;s Berlusconi tries to calm Fears over crisis