Italian PM to pursue more growth less austerity

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Italian PM to pursue more growth less austerity

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Italian Prime Minister Enrico Letta easily clinched his first vote of confidence in parliament after promising more economic growth and fewer austerity measures.

The right-left coalition government won by 453 votes to 153, but should be fully empowered after a second mandatory vote in the Senate later today.

Setting out his economic programme, Letta said:

“The issue that will be at the top of my government’s agenda is unemployment. Only with employment can we can emerge from the nightmare of impoverishment and head towards growth, overcoming social injustice by bringing wealth.”

But the government has a tough task ahead reversing a jobless total that’s now above eleven and a half percent.

And although Letta says he intends to press for change to the European Union’s focus on austerity he has offered few proposals about how to get the economy growing again.

However financial market reaction to Letta’s appointment and the end of months of political stalemate in the eurozone’s third largest economy has been positive. And Italy’s cost of borrowing has dropped to its lowest for three years.