The growing tension between Brussels and the Italian government of Giuseppe Conte is in danger of ‘spilling over’ to other countries, particularly Portugal and Spain, whose banks both hold millions in Italy’s sovereign debt.
As we went to press, stories were racing through the international press warning of a ‘doom loop’ that would affect the country’s weakest lenders.
Here, Dinheiro Vivo is already suggesting ‘contagion’ could affect Portugal’s public debt, which is once again threatening to exceed the €250 billion mark.
Stories earlier this week highlighted the fact that in August this year, Portugal’s public debt rose by another billion euros.
natasha.donn@algarveresident.com
