Debt reduction must be credible, gradual, steady - Panetta. Italy's public debt is currently just over 137% of GDP and the government aims to bring it down to 135% in two years' time.
It is the second biggest in the eurozone after Greece's. It ballooned to almost 160% at the height of the COVID pandemic in mid 2021 but has since fallen. The reduction of Italy's "high public debt" must be implemented with "the Einaudian principle," Panetta said.