Grillo warns that Italy may leave the euro

Italian politician, comedian and blogger Beppe Grillo has announced  that the country may leave the European currency.

In an interview with German magazine Focus, Mr Grillo said that the country will have to renegotiate its government debt which currently stands at over 120% of the country’s GDP.

The Telegraph reported yesterday that Mr Grillo told the magazine: “Right now we are being crushed, not by the euro, but by our debt. When the interest payments reach €100 billion a year, we’re dead. There’s no alternative”.

Mr Grillo, the leader of the Five Star Movement, won 109 seats in congress and 54 seats in the senate in the country’s general election.

He has refused to form a coalition with one of the major parties lead by Pier Luigi Bersani and Silvio Berlusconi, with talks to form a new government set to begin on the 10^th March, when the election results will be officially confirmed.

This will give the politicians until the 15^th March before President Giorgio Napolitano will hold formal talks to form a new government.

The hung parliament has had an effect on the financial markets which saw the Italian stock market index fall by 1.54% at close of business on Friday. 

Daniel Cotter