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Tuesday, June 28, 2011

'Berlusconi faces battle to pass austerity plan'

from reuters.......

"Prime Minister Silvio Berlusconi was meeting coalition allies on Tuesday to push through an unpopular 40 billion euro ($56.7 billion) austerity plan, his biggest test since suffering two major political defeats.

The budget, seen by economists as vital to avoid contagion from Greece's debt crisis, has heightened tension within Berlusconi's fragile centre-right coalition, with his Northern League allies demanding tax cuts to increase public support.

Economy Minister Giulio Tremonti, widely credited with protecting Italy from the global economic crisis, is steadfastly resisting League pressure to dilute deficit-cutting proposals."..............READ MORE

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