Italian Budget Cuts.
Discussion
The Italian government is asking citizens to make sacrifices to help get public finances in order and protect the country from the sort of market speculation that pushed Greece to the brink of bankruptcy.
The Cabinet meets later Tuesday in Rome to approve euro24 billion ($30 billion) in hotly contested spending cuts in 2011-2012 which reportedly include pay freezes for most public workers — and cuts for those highest paid — and may see trims to the nation's revered health system.
Italy's measures are part of a wider wave of austerity cuts under way across Europe as the continent tries to convince markets that it can manage its debt load and avoid another near-default like Greece's.
Italy's cuts would bring the budget deficit to below 3 percent of gross domestic product by 2012, from 5.3 percent in 2009, and soothe markets worried about the debt load of 115 percent of GDP — the highest of the 16 countries that use the euro.
On Monday, Britain, which is not part of the euro zone, unveiled 6 billion pounds ($8.6 billion) in cuts — mostly to government payrolls and expenses.
http://www.google.com/hostednews/ap/article/ALeqM5...
Nice to see the UK is taking a weaker position on public debt than the Italians.
The Cabinet meets later Tuesday in Rome to approve euro24 billion ($30 billion) in hotly contested spending cuts in 2011-2012 which reportedly include pay freezes for most public workers — and cuts for those highest paid — and may see trims to the nation's revered health system.
Italy's measures are part of a wider wave of austerity cuts under way across Europe as the continent tries to convince markets that it can manage its debt load and avoid another near-default like Greece's.
Italy's cuts would bring the budget deficit to below 3 percent of gross domestic product by 2012, from 5.3 percent in 2009, and soothe markets worried about the debt load of 115 percent of GDP — the highest of the 16 countries that use the euro.
On Monday, Britain, which is not part of the euro zone, unveiled 6 billion pounds ($8.6 billion) in cuts — mostly to government payrolls and expenses.
http://www.google.com/hostednews/ap/article/ALeqM5...
Nice to see the UK is taking a weaker position on public debt than the Italians.
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