[release][img]http://english.aljazeera.net/mritems/Images/2011/11/9/201111910339718734_20.jpg[/img]
[B][I]Financial pressures led Berlusconi to announce he would resign, but jitters persist among investors[/I][/B]
Italy's president has moved to allay fears over political uncertainty, saying a new government will be formed shortly and that Prime Minister Silvio Berlusconi’s resignation will be accelerated.
Giorgio Napolitano said in a statement on Wednesday there was no uncertainty over Berlusconi's decision to resign once a new Finanancial Stability law was adopted, "within the space of a few days".
"Fears are totally unfounded that Italy may experience a long period of inactivity," Napolitano said, adding that "emergency measures" could be adopted at any time.
Renato Schifani, the Senate president, told reporters he expected approval of the economic measures by the end of this week.
"The moment we're going through, with international speculation attacking our country, requires swift choices and political cohesion," Schifani said.
Following the collapse of his governing coalition, Berlusconi said on Tuesday he would step aside for the good of the country, which is grappling with a major debt crisis.
Napolitano's assurance about a new government came as Italy's key borrowing rate surged above seven per cent, raising the economic pressure on the beleaguered country.
The yield on Italy's 10-year bonds surged on Wednesday to a high of 7.40 per cent, up 0.82 of a percentage point from the previous day.
Higher borrowing rates will make it more difficult and expensive for Italy to roll over its debts. It has over $412bn to raise in 2012 alone.
[B]Bailout unlikely[/B]
The seven per cent threshold is considered unsustainable for a government over the longer-term and is the point at which Greece, Ireland and Portugal - all eurozone members - ran into economic difficulties eventually leading to international bailout payments linked to austerity cuts.
Al Jazeera speaks to ordinary Italians about the looming austerity measures
But analysts consider Italy, the eurozone's third-largest economy with debts of $2.6 trillion, too big to be bailed out.
"It takes time to permeate to the rest of the debt mountain," Jan Randolph, head of sovereign risk analysis at IHS Global Insight, said.
"Seven per cent is not sustainable over several years. It has to be brought down eventually. Otherwise, we are in danger."
Borrowing rates settled down to 7.26 per cent after Napolitano's remarks.
"Yields at 7%: markets are telling Berlusconi to leave NOW. They don't buy his scheme of pretending to leave in 2 weeks after budget is passed," Nouriel Roubini, an economist who has lived in Italy, said on Twitter.
Randolph noted that Italy was in better fiscal shape than either Greece or Portugal when they sought bailouts as its deficit is below the eurozone average, but growth is weak.
Milan's stock index also fell in reaction to the economic and political turmoil, sliding 4.3 per cent lower at 15,002, while shares in Berlusconi's Mediaset empire were trading down 9.8 per cent.
Despite the spiralling borrowing costs, the euro zone has no plans for a financial rescue of Italy, euro zone officials said on Wednesday.
"Financial assistance is not on the cards," one euro zone official said, adding that the 17-member currency bloc was not even considering extending a precautionary credit line to Rome.
It would be up to Italy to reassure investors it would pay back what it borrowed, the euro zone official said.
"They will just have to prove that the yields are not justified, because they aren't."
[B]'Supreme political operator'[/B]
With Italy awaiting a new government to be formed after Berlusconi finally quits, analysts said the prime minister may take his time to step down.
"Berlusconi is the supreme political operator. And no one will believe he has resigned until he has done so. Simple as that," Randolph, of IHS Global Insight, said.
"He survived confidence votes before and he has made comebacks. No one really believes he is gone until he is gone."[/release]
Source: [url=http://english.aljazeera.net//news/europe/2011/11/201111913580620437.html]Al Jazeera[/url]
Nothing will change. Mafia is corrupt. If one good guy gets up in there, many others corrupt will fuck him up.
Mafia = your government
If you didn't know.
The only way to get rid of those corrupt fucks is to kill them all. They are parasites of government. You have to kill parasites in your body too after all.
[QUOTE=HeatPipe;33213430]Nothing will change. Mafia is corrupt. If one good guy gets up in there, many others corrupt will fuck him up.
Mafia = your government
If you didn't know.
The only way to get rid of those corrupt fucks is to kill them all. They are parasites of government. You have to kill parasites in your body too after all.[/QUOTE]
Radical, but true...
[QUOTE=HeatPipe;33213430]Nothing will change. Mafia is corrupt. If one good guy gets up in there, many others corrupt will fuck him up.
Mafia = your government
If you didn't know.
The only way to get rid of those corrupt fucks is to kill them all. They are parasites of government. You have to kill parasites in your body too after all.[/QUOTE]
Nice in-depth pub-like analysis.
The next one will be "Lawyers are evil", right?
[QUOTE=HeatPipe;33213430]Nothing will change. Mafia is corrupt. If one good guy gets up in there, many others corrupt will fuck him up.
Mafia = your government
If you didn't know.
The only way to get rid of those corrupt fucks is to kill them all. They are parasites of government. You have to kill parasites in your body too after all.[/QUOTE]
If it was that easy to accomplish we would have gotten rid of mafia long time ago.
I think the mafia would run things better than this scumbag.
[QUOTE=CabooseRvB;33216081]I think the mafia would run things better than this scumbag.[/QUOTE]
I think Mussolini almost eradicated the Mafia when he was in power.
The rent increase is the worst news we could get so far.
It pretty much means Italy will go broke unless they reform again and somehow spend even less money.
[QUOTE=CabooseRvB;33216081]I think the mafia would run things better than this scumbag.[/QUOTE]
Yeah, I kinda agree.
[editline]10th November 2011[/editline]
[QUOTE=Jvs;33215851]If it was that easy to accomplish we would have gotten rid of mafia long time ago.[/QUOTE]
You need massive balls and weapons and connections.Or just hope for next great leader or something.
[QUOTE=HeatPipe;33213430]Nothing will change. Mafia is corrupt. If one good guy gets up in there, many others corrupt will fuck him up.
Mafia = your government
If you didn't know.
The only way to get rid of those corrupt fucks is to kill them all. They are parasites of government. You have to kill parasites in your body too after all.[/QUOTE]
Uh, your idea is "kill them all"? Pretty sure you're crazy.
I hope the social democrats come out on top.
[img]http://www.ilfatto.net/images/stories/460/logo_partito_democratico_pd.jpg[/img]
[QUOTE=Sobotnik;33216257]I think Mussolini almost eradicated the Mafia when he was in power.[/QUOTE]
He did a good job getting rid of them on the mainland, but much of the Mafia went further underground in Sicily and helped out the U.S. when they were landing there. Lucky Luciano proposed to be airdropped into Sicily to help with the resistance operations
all i hope is that didn't act like douche and apply technical government
[QUOTE=Megafanx13;33219774]Uh, your idea is "kill them all"? Pretty sure you're crazy.[/QUOTE]
I'd like to think radical. Don't worry, I don't plan to kill anyone.
Oh neat.
Maybe now the Italian justice system will grow some balls, void his immunity and drag him to court already
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