Italy’s Economic Crisis Risks A European Recession.
The Italian Government faces an economy in crisis. We should note that after the economic crisis of 2008/2009, Italy still hasn’t fully recovered having slipped into recession three times within one decade with the latest last year.
Italy Economic crisis is really concerning and as expected European leaders should follow happenings in Italy closely. Italy is a member of the European Union and the Euro Zone. As one of the Major Economies in the Eurozone out of the 19 members zone, Italy has significant influence in the zone. On other word a continued economic crisis in Italy can slip into deep economic crisis in the Euro Zone and Europe.
The economic slow down in Germany doesn’t help matters as there are increasing panic other the economic future of the Euro Zone.
In addition to this crisis, Italy has a loss of investor confidence in its economy which the present government has worsened. Worsened with its policies example increase in pension and opposition to immigration.
Also we must be reminded that Italy and the Italian Economy faces a ‘brain drain” as people in tens of thousands are leaving the country. People who are among the best brains, talents and qualifications and there are no mechanism to attract people with similar attributes to back to Italy.
Interestingly, the present government seems to have no clue or ideas on how to resolve this crisis or it’s economic crisis and that worries Europe the more. Example when it released it’s economic forecast for 2019 and kept it at 1%. Something that’s overly optimistic giving the present challenges. In fact many notable organizations has kept Italian economic forecast at between 0:03 – 0:3%.
Notably politicians are already voicing their concerns in Europe example the French Finance Minister, the European Finance Commissioner alongside others.