Last week, two credit rating agencies downgraded Italy's sovereign debt to the same level as Botswana's. The move by Standard & Poor's and Fitch is more than a reaction to the centre-left government's first budget after April's general election. It is a sign of frustration with where Italy's coalition is headed. After a short period during which the country appeared to recognise the urgency of its economic plight, we are now back to politics as usual in Rome. S&P lowered Italy's long-term credit rating from AA- to A+, complaining that Romano Prodi, prime minister, is as inclined to muddle through as his predecessor was. Unfortunately, they are right.

Mr Prodi and Tommaso Padoa-Schioppa, finance minister, appear to have prioritised two goals in the difficult budget negotiations: