Greece and Italy problems disrupt global supply chain

As Italy becomes the latest victim of negative speculation on the global financial markets, the repercussions could be widespread and could have a significant impact on the global supply chain.

Research Analyst from the Procurement Intelligence Unit, Jonathan Webb, said that as Italy moves from Europe's core to its periphery, many economies in the Mediterranean region face the prospect of substantial insolvencies.

“There is the further threat of persistently tightened access to credit within these economies in the future, which will call into question the reliability of companies in these countries,” Webb said. 
“The tide of capital concerns could sweep across major industries, most noticeably the manufacturing centres of the north,” he said.

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