The uncertain international economic climate and volatile markets pose a risk to Italy’s growth prospects, said Ignazio Visco, the governor of the Bank of Italy and member of the European Central Bank Governing Council.
Visco said the outlook for the world economy was “less robust than was hoped for just a few months ago” and added that inflation in the euro zone was “struggling to return to a path consistent with price stability”.
In a speech to bankers, he said the ECB was doing what it could to help the eurozone economy, but said governments also had to confront risks to growth and financial stability through their budget policy and by forging ahead with promised reforms.
Turning to Italy, he said the country was still on course to register economic growth of “around” 1.5 percent this year and next, saying this scenario depended on domestic demand and investments strengthening.
“The uncertainty in the international arena and its impact, at times chaotic and violent, on the financial markets pose evident risks,” he said.