via sott.net:
The Bank of Italy confirmed on Saturday that the country’s sovereign debt skyrocketed by 21.6 billion euros in February to hit a historical high of 2.772 trillion euros ($3.075 trillion).
The debt number was described as rampant by the Italian newspaper Corriere della Sera, which added that in 2022, goods and services amounting to 1.909 trillion euros were produced by the country, resulting in a massive 145% ratio between Italy’s GDP and debt.
Italy is facing a mammoth deficit this year of 5.6% of GDP, which Italy PM Giorgia Meloni stated in December that she intends to progressively cut down to 4.5% in 2023 and then 3% in 2025. However, funds will result from a higher windfall tax on energy companies and worthy cuts in citizens’ income.
As cited by Corriere della Sera, the president of the Italian national consumer union explained that the existing monetary policy of the European Central Bank and the continuously increasing interest rates can only show a spiraling-down path for Italy that will inflate state debt and aggravate social inequality.
In 2020, Italy’s state debt went through a sharp incline as a result of the Covid-19 pandemic – letting the GDP jump to 155%.