Finally introduce euro bonds

Italy has borrowed almost 8 billion euros on the capital market, requiring it to offer investors a high risk premium. Even following the second rescue package for Greece the debt crisis is continuing to dog the euro, the chief economist of the Polish finance institute PBP Ignacy Morawski writes in the liberal daily Gazeta Wyborcza. He calls for the introduction of euro bonds: "The project to issue euro bonds is currently only being outlined in the newspapers. Yet the likelihood that the politicians will seriously consider it is great. If Ireland and Portugal don't succeed in restoring their creditworthiness by the end of the coming year, a new rescue package of around 90 billion euros may be necessary. For that is what will be required to service the loans for the years 2013 to 2015, not counting the public loans. In addition, a further 350 billion euros may be needed if the crisis spreads to Spain."

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