Financial TimesFinancial Times

ECB rate rises expose fears for Italy as eurozone’s weakest link

By Alexander Vladkov, Martin Arnold

02 Jan 2023 · 4 min read

Editor's Note

The European Central Bank will continue to hike interest rates. But according to a poll conducted by FT, Italy seems to be at the highest risk of debt crisis because of rate hikes.

Italy is the eurozone country most susceptible to a debt crisis as the European Central Bank raises interest rates and buys fewer bonds in the coming months, economists say.

Nine out of 10 economists in a Financial Times poll identified Italy as the eurozone country “most at risk of an uncorrelated sell-off in its government bond markets”. 

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