The Euro is in crisis!
Yes, it's true. Greece has a huge economic crisis and Italy, one of Europe's biggest economies, is following suit.
Whereas the Greek government has pushed (or tried to, if their politicians are to be believed) measures that will save their economy from total collapse and are receiving a huge bailout from the their Euro cousins, the Italians are just starting to feel the bite and are in dire need of a rescue themselves.
Simply put, they have borrowed to the limits of their ability to repay the loan.
Now, correct me if I'm wrong ... and I often am, but if you are in danger of losing the money that you have lent someone, the last thing you should be doing is raising the interest on that loan to record levels, thereby making it harder for the borrower to make repayments. What are they at now? 6.9% interest? Amazing!
I personally would be safeguarding my investment by making it easier to for the borrower to pay me back.
But there you go! That's just me and voicing my opinion is a would be very like farting in a hurricane. No one would notice!
But no! The money lenders have other plans for Italy. Perhaps even for the entire future of the Euro!
At the end of the day though, I live in the UK and I don't really care about Italy's economy, but in our current economic climate, perhaps I should. It may well turn around and bite me in the backside, or worse still ... in my wallet!
Just for the record, I am, and always was, against a single currency for Europe.
I know this subject isn't what you might have come to expect from me. Believe me, I'm just as surprised as you are that I wrote.
Where are all those fairies when you need them, eh?