Dear Steemit Community

The newly formed government in Italy is being burdened by these debts, and Italian businesses continue to hold mountains of such borrowings, making it more difficult for the government to assist them in overcoming the current crisis:the rising cost of energy.
State-backed credit lines issued by Italian companies during the Covid era totaled a record $125 billion.

Companies will end up with corporate structures that are heavily indebted and potentially unsustainable as a result of any additional debt support they receive, which simply delays the pain.
In a rapidly slowing economic environment, how and to what extent can it continue to support businesses that are currently struggling with higher costs, particularly energy bills?The government is putting in place a package of help that lets businesses spread out their energy costs over up to two years and provides gas and electricity providers.

The borrowings are difficult to replace or repay for Italian businesses.Some of them are even violating the terms of their loans.

The majority of the state-guaranteed debt will be due in 2024.However, interest rates are rising, and we are about to enter a time when financing will become more important and the pressure on businesses will continue to rise.
Companies with any credit rating, even those with a junk rating, were eligible for guarantees.Because they knew that the state would cover the vast majority of them, banks were willing to provide credit lines.

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