Italian Prime Minister Enrico Letta has won a confidence vote in parliament, after Silvio Berlusconi backtracked on threats to bring down the government.
Shortly before the vote, the centre-right leader promised to support Mr Letta.
Mr Berlusconi's U-turn came only days after he provoked a crisis by pulling his ministers out of the government.
He abruptly changed course as dozens of rebels in his centre-right People of Freedom party prepared to vote for Mr Letta.
"We have decided, not without some internal strife, to support the government," the media tycoon told the Senate at the end of a sometimes fiery debate.
His decision to withdraw his ministers from the coalition provoked the mutiny in the PDL, with dozens of Senators defying orders and declaring they would vote for the government.
As the debate on the confidence motion opened, Mr Letta said Italy risked being left without a stable government if his administration fell.
"Italy is running a risk that could be fatal, without remedy. Thwarting this risk, to seize or not seize the moment, depends on the choices we will make in this chamber. It depends on a yes or a no," he told the Senate.
Mr Letta said the government would continue with tight control over public finances and a focused programme of economic reforms.
He said it is vital that Italy has a stable government in 2014 when it assumes the rotating presidency of the European Union.