Oliver Meiler was born in Zurich and studied in Geneva, political science and International relations. Since 1998 he has been a correspondent, first in Italy for the Tages-Anzeiger and the Berliner Zeitung, then in Southeast Asia for the Süddeutsche Zeitung, and later in France, Spain and, since 2015, in Italy. He is married and has two sons.E-Mail
The "Spread" is back. Anyone who clicks through the Italian media, scrolls and zaps, the this concept everywhere: "Lo spread met." For this purpose, it is usually a number of points, which, depending on the height, the headlines or swelling can. More than 200 points are considered to be high. 300 is critical, 350 really threatening.
"Spread" - this refers to the interest rate differential between Italian and German government bonds. It is an indicator of whether the investors in Italy for economically stable and politically reliable enough to be your money invest. German bonds are the benchmark, in a sense, the gold standard, the Spread to reflect the distance. Since the populists of Lega and the Cinque rule in Rome, he is consistently high. Shortly before the European elections, but he is now growing again - or as the Italians say: "He rises again." At almost 300 points.
This has not insignificantly to do with some of the statements by Matteo Salvini, the Deputy Prime Minister and Minister of the interior of the right-nationalist Lega. The occurs on his campaign tour through the country every few hours, to another Piazza, and talking very much. When asked whether Italy would keep to the Maastricht deficit limit of three percent of gross domestic product, said Salvini: "This bondage can be, not only to break even." To the amount of the state debt: "130 or 140 per cent (the total economic output, ed.) - I don't care, we just make more." Italy must be prepared to make courageous Decisions in order to combat unemployment and poverty in the country, Brussels is not going to stop him.
no Matter? On another occasion, Salvini said: "The Spread I stroke my Breakfast bread." And: "decimal places are not interested in me, only me, the Italians are interested in." Of course, such contradictions serve primarily to political Propaganda. Salvini constantly looking for a fight with Brussels, to mobilise his eurosceptic voters. The financial markets reacted immediately, investors pushed Italian papers in large numbers, the interest rates rose. Since Rome had to refinance on the same day, a Tranche of the sovereign debt alone cost those surgery about eight million euros more than planned.
Salvini's colleagues in government try to reassure the markets and Brussels
In a private TV channel, an Economist, was then explained to the viewers with a lot of patience is that no matter how high the Spread and interest rates were when a country is so indebted to the dramatic, such as Italy. With eight million euros, he said, could be, for example, a storm-ravaged lake in the Dolomites renovation. Ever notice how experts strive to keep the citizens in a realistic manner to explain what's with the Numbers on. Under 2359 billion euros, can think of no-one. So high is the state debt of Italy especially, and the trend is growing. The online newspaper Linkiesta calls this number "our yoke" - "the heart of all our problems". With such a mountain of debt every political turbulence to become in an earthquake.
Around 70 billion euros from Italy every year to service its loans. In 2018, it expected Italy's Central Bank, took the distrust of the markets, the Spread so, the Italians more than two billion euros in addition. No spell, no provocation remains as of no consequence. Salvini's colleagues in government are now trying their utmost to reassure the markets and Brussels to limit the damage. Italy's economy is stagnating, and that makes everything much more explosive.
Luigi Di Maio, the other Vice-Premier and head of the Five-star, says he can't guarantee that Italy do even more debt. "We are the reasonable force in this government." It was also different. The party's economic and Finance Minister Giovanni Tria has sent to the Secretary-General of his Ministry to London, so he can keep the investors happy. And Premier Giuseppe Conte, the closer to the Cinque point, as the Lega, surprised her with a confession. It will be difficult to shape the budget in the autumn, fairly compensated, without the VAT increase. Later, he added: "But we will make it." Probably it had pushed the Lega to this trailer. New taxes you're not supposed to talk even hypothetically, so shortly before the elections.