The Italian caretaker government has announced it is delaying the approval of a law that would pay Eur40 billion or GBP33.6 billion of state debts to private firms in the country. This piece of legislation has been said to help provide important cash infusion to cash strapped firms mired in deep recession.
The said law was supposed to be approved in a cabinet meeting last Wednesday but was not passed after Economy Minister Vittorio Grilli and Industry Minister Corrado Passera had 'pointed out to the prime minister the need to reflect further before drawing up the decree.' As a result, the meeting for the passage would eventually be held in the next few days.
The about face is just another day in the confusing times of Italian politics and governance. It has been several weeks after the election has been held and there has been no coalition government formed leaving the country in policical limbo. All this time, issues and problems continually pile up without a government with a majority to enforce the administrative law.
In a previous statement, the decree would help settle the backlog of bills that the government had failed to pay to spur the economy out of the longest recession it has had in the past 20 years.
Join the Conversation