Italy Unemployment Rate Hits New Record

Local Editor

President of the European Union Herman Van Rompuy urged for an "immediate fight" against unemployment on Friday, as Italy's unemployment rate hit a new record high.

"It is a challenge that we need to meet as a matter of urgency," Van Rompuy said after talks with Italian Prime Minister Enrico Letta.

Letta prioritized youth unemployment to be tackled at an EU summit to be held in Brussels next month.

Italy's unemployment rate had risen to 12% in April, which consists of 3.83 million people, and youth unemployment at 40.5 percent, with an estimated 656,000 young Italians looking for a job.

Van Rompuy said there were more than seven million young people in the EU at the moment who weren't working, studying or training.

"Public resources should be aimed concretely at launching a new phase of development and social cohesion," Italian President Giorgio Napolitano said.

For his part, Bank of Italy governor Ignazio Visco warned that "a positive turnaround in conditions could not be expected until the end of the year."

"This year will see a major shrinkage of productive activity and employment," Visco stated in a speech at the annual central bank assembly.

Italy has been suffering recession since the summer of 2011, which is considered its second ever since the global financial and economic crisis of 2008-2009.

Source: News Agencies, edited by website team