What's next for Italy

Italy is facing big problems due to its enormous public debt and the unaccountability of its government.

The italian government denied the economic crisis since 2008 and did not take any serious action to face it.
Now the financial market needs actions from the italian government and wants the reduction of the public debt actually at the 118,4% of the GDP.

Yesterday the IMF offered a credit line of 44bn $ but it seems that the italian government has refused it.

Let's analyze the schedule of the public debt issue up to October 2012, as reported by the Dipartimento del Tesoro. (see table below)

Up to the end of 2011 Italy does not need to refinance a big amount of debt, but from February 2012 to April 2012 it has to refinance about 134 bn Euro .  

Italy could not refinance 134bn Euro of debt at the current market interests rate.
In my opinion the IMF help is unavoidable.

Collapsing Italy will collapse the Euro.