A good debut for Governor Fabio Panetta in his first final considerations after his appointment. A long report enumerates the country’s atavistic evils, but its tone and statements introduce injections of hope and a bit of optimism in return. Exactly the opposite of the former Ignazio Visco’s sermon tone. And that the rhythm has changed can be seen in two details that give substance. The first: at the end of his speech, which was extensive but also long, there was a long round of applause from the audience. And his joke makes me smile: «If the applause continues, I’ll do an encore (of the speech edition)». Another style, but also a different language that excited the guests present, especially the bankers. «Solid words, which reassure the system», confides a powerful representative of the world of credit to Il Tempo. And in truth, instead of the handkerchief to catch the tears and the hair shirt to suffer, Panetta’s words allow us to glimpse some ray of light. «Italy is not condemned to stagnation and can return to growth, but the economy still suffers from serious problems and the weight of high public debt, combined with demographic decline and backwardness in the South, are delaying recovery», explains Panetta .
The roadmap is the same, but the path forward which, traditionally, in the language of Palazzo Koch includes the invitation to the government to initiate reforms, relaunch productivity and investments, as well as the inevitable fight against waste and tax evasion, is added This year the integration of regular migrants boosts employment and counteracts demographic decline. This is a phenomenon that risks costing the country a GDP contraction of 13 percentage points between now and 2040.
Another novelty is the reference to the potential of artificial intelligence which, according to the number one at Palazzo Koch, could represent a great opportunity, but also a risk for jobs. “We should have no illusions: our economy still suffers from serious problems, some of which are deeply rooted and difficult to resolve. The South’s economic backwardness and high public debt are inevitable issues for economic policy,” Panetta noted, but “the agenda is clear” and “must be implemented to return to growth and count on Europe, and with Europe the count in the world.”
Source: IL Tempo
Roy Brown is a renowned economist and author at The Nation View. He has a deep understanding of the global economy and its intricacies. He writes about a wide range of economic topics, including monetary policy, fiscal policy, international trade, and labor markets.
