Italy’s PM Silvio Berlusconi is facing a critical vote on the budget, amid fears that Italy could be the next victim of the eurozone debt crisis. Mr Berlusconi has survived dozens of confidence votes throughout his tenure. He denies he plans to resign, but will meet coalition partners after the vote.
The Italian government’s cost of borrowing has risen to a new record ahead of a key vote for Prime Minister Silvio Berlusconi. The yield on Italian 10-year bonds rose to 6.73%, the highest since the euro was founded in 1999. Investors fear that the eurozone’s third-biggest economy could become the next victim of the debt crisis.
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