Italy has become the first G7 nation to endorse the Belt and Road Initiative, China's controversial series of global infrastructure investments, says Miles Johnson in the Financial Times. The two countries signed a non-binding declaration that endorsed the deal as well as "a number of agreements between companies in sectors including energy and steel" worth more than "several billion euros".Italy's endorsement has "caused consternation" in Washington and Brussels, "which have voiced concern about China using the initiative to gain influence or control over strategically important assets".
The move is indeed likely to exacerbate tensions between Italy and its European neighbours, says Holly Ellyatt for CNBC. Italy's anti-establishment coalition has already clashed with Brussels over immigration and its spending plans. Its deal with China is likely to be another source of conflict. But for China's president, Xi Jinping, the deal is "fantastic", says Rory Green of TS Lombard. "It's a really big coup for Xi and it will give him a foothold in the heart of Europe."
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
-
26 million Brits at risk of retirement shortfall if state pension triple lock were to be scrappedCurrent projections of pensioner poverty assume the state pension triple lock will be in place for the next 50 years. Critics say this is unlikely and revised figures showing pension undersaving among millions more people give a truer picture of the crisis
-
Reeves calls on regulator to investigate steep private dental chargesThe chancellor has asked the Competition and Markets Authority (CMA) to look into the high costs of dental treatment amid concerns over rising prices which essentially locks people out of the system
