Rating agency Standard and Poor's has recently downgraded Italy's ratings by one notch to A/A-1 and kept its outlook on negative, which has triggered concerns across the Euro zone. "In our opinion, the measures included in and the implementation timeline of Italy's National Reform Plan will likely do little to boost Italy's economic performance, particularly against the backdrop of tightening financial conditions and the government's fiscal austerity program," said S&P.

International analysts quoted by Reuters saw this surprising move as an extra risk of contagion over Greece. Italy's Prime Minister Silvio Berlusconi (in picture) said that Standard & Poor's downgrade did not reflect reality, adding that Italy's government was already preparing measures to restart growth.

editor@romania-insider.com

(photo source: Italian Government; photo credits: Livio Anticoli)