Bond yields in Italy hit record highs. The IMF offered them a loan. Berlusconi rejected it but accepted financial monitoring, rare for a country of Italy’s size.
Berlusconi complained about “ancient prejudices” against Italians. It is true that for centuries the Germans haven’t taken Italy seriously. They didn’t expect much of them, and they were the butt of lots of jokes. Italians had a lackluster performance in World War I and World War II.