Italy banks' borrowing from central bank jumps in July


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Lending by the Bank of Italy to banks for monetary policy reasons jumped to 80.487 billion euros at the end of July from 41.32 billion euros at end-June, the central bank's balance sheet, published on Friday, showed.

Italy's conservative banking system and high private savings had kept it largely clear of the euro zone debt crisis until last month, when bond investors turned on Italy and Spain.

In a bid to quell market panic that sent Italian bond yields to 14-year highs, Italian Prime Minister Silvio Berlusconi on Friday announced plans to speed up reforms and balance the budget by 2013, a year ahead of schedule.