Italy and Spain borrowing costs hit new high

Italy's Finance Minister is to hold talks in Luxemburg this morning with the Eurozone Chief Jean Claude Junker, as the country faces continuing pressure on international money markets due to its debt levels.

The cost of borrowing for Italy and Spain hit a new record high yesterday.

Traders are worried that poor global economic growth could make it more difficult for both countries to avoid being affected.

The Italian Prime Minister Silvio Berlusconi is to address the Italian Parliament on the situation later today.