Central Banks

Bank of Italy Says Risks to Financial Stability Have Decreased

  • Central bank says government must focus on fiscal prudence
  • Fears of return to structurally low growth weigh on outlook

The Bank of Italy in Rome.

Photographer: Filippo Monteforte/AFP/Getty Images
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Risks to financial stability in Italy remain significant but have decreased thanks to a healthier banking system, the country’s central bank said.

The Bank of Italy added that the government of Prime Minister Giorgia Meloni must focus on fiscal prudence and reforms aimed at promoting growth.