Eurogroup denies Italy vote marks new crisis

Eurogroup has no intention of taking immediate measures following Italian vote, says Jeroen Dijsselbloem

Eurogroup denies Italy vote marks new crisis

World Bulletin / News Desk

The Eurogroup will have to wait and see what Italy’s next political steps are, what its government will do and what its president decides, President of the Eurogroup Jeroen Dijsselbloem said Monday.

Attending a Eurogroup ministers’ meeting in Brussels, Dijsselbloem’s remarks came after Italian Prime Minister Matteo Renzi said he would resign after losing Sunday’s constitutional referendum.

"I don't believe it [referendum] is the beginning of a new crisis. There is no reason for that. Political instability makes it more complicated for Italy and the euro zone. But it is a new reality we have to work with," Dijsselbloem said.

Pointing to moderate market reactions so far, Dijsselbloem stressed the Italian economy, with its strong institutions, was one of the largest in Europe.

The Eurogroup chairman also said the euro states would have to wait for the next steps from the Italian government and president, and added: “The Italian situation hasn't changed economically; the banks are no different today than they were yesterday.”

“There’s no systemic risk to the euro,” French Finance Minister Michel Sapin had told reporters before the meeting.

Sapin claimed the Italian referendum was a vote against a change in the country’s constitution, not on EU membership, and added: "Italians are still in favor of the European Union.”

"Italy is a profoundly European country," he added.

Last Mod: 05 Aralık 2016, 17:35
Add Comment