Italian prime minister Matteo Renzi will resign following his loss in Italy’s constitutional referendum.

The Euro has fallen to its lowest price since March 2015.

As polls closed for the Italian referendum, initial indications suggested the government of Prime Minister Matteo Renzi was set to lose.

Just after midnight local time in Rome, the Prime Minister conceded defeat and signalled his intention to resign on Monday.

The vote, if it had succeeded would have shifted the power of the Italian senate and concentrated more power in the parliament. It was a plan that has been described as “authoritarian” by critics from opposition parties.

The populist 5 Star Movement (M5S) and their leader Beppe Grillo have been the most vocal and are expected to receive a boost from a “No” victory.

A “No” result is likely to spark calls for a fresh national election in which many predict a possible victory for Mr. Grillo’s movement.

M5S has promised the Italian public another referendum on leaving the euro currency as the economy in Italy continues to falter.