Today, Tuesday 29 May, the governor of the Bank of Italy, Ignazio Visco, presents the "Final considerations" to the central bank assembly, illustrating the essential part of the institute's annual report. These are the first Considerations of Visco's second seven-year mandate, confirmed last year not without some controversy.
There is great expectation for what the Governor will say, not only because the last few weeks have been difficult for Italy on the financial markets, but above all because this time the fundamental appointment in the Bank of Italy calendar falls just two days after the worst earthquake politician in recent years.
Two days ago the President of the Republic, Sergio Mattarella, applying his constitutional powers, refused to sign the decree appointing the Eurosceptic economist Paolo Savona as Minister of the Treasury, a decision that led the League to blow up the government alliance with the 5 Star Movement. After the resignation of the prime minister in charge Giuseppe Conte, the Colle entrusted a new assignment to Carlo Cottarelli, former Mister Spending Review..
It will therefore be very interesting today to understand how Visco will address the issues that have in fact been at the center of the political confrontation and controversy of recent days, and in particular the ruinous prospect of Italy leaving the Eurozone (theorized by Savona), the risk for public finances related to the Lega-M5S government contract (for now set aside, but perhaps not completely shelved) or the possibility of asking the ECB for a net cancellation of 250 billion of our public debt, idea conceived by the Pentalega supporters in the early stages of the negotiation on the programme.
Of course, the final considerations will also cover issues of the Italian and international economy and, once again, the state of the banks in the light of the new European rules will be one of the central points.
Usually the governors of the Bank of Italy use soft words but, when they want, they know how to send very clear messages.
