Traffic was blocked for a few hours along the nearby highway as authorities struggled to contain it and keep locals safe.
Monreale Mayor Piero Capizzi said at first he thought someone was joking when he was told a tiger was on the loose.
The animal was re-captured after being coaxed to go inside a series of increasingly smaller cages.
It was then safely taken back to the circus.
The special police force, deployed to capture the beast, and circus trainers considered using tranquilsers to sedate it but decided to use a cage instead not to harm it.
The mayor says it is not known how the it escaped from the circus, which is currently performing in the Monreale area and are from Sweden, reported ANSA.
Police are also said to be questioning members of the circus over the potentially life threatening incident.
The tiger is due to perform at the circus this Monday.