Belgium’s continuing failure to form a government has caused its borrowing costs to rise. Interest rates on its bonds have reached a ten-year high as investors reassess the risk of Belgian sovereign debt, given the current political crisis and the country’s debt-to-GDP ratio of 100%. Some observers believe that Belgium may be next in line after Italy for a euro-debt crisis.
Meanwhile, more and more people are touting Eurobonds as a solution to the EU’s fiscal woes. But the Netherlands is opposed to any creation of a Eurozone-wide bond.
In other news, the woman who is languishing in an Afghan jail for the crime of being raped has been offered a way out of her predicament: marry the man who raped her and fathered her child. She is reportedly willing to take the offer.
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