TV interview with Volker Wieland: Italy should continue on its reform path

The majority of Italian citizens is still enthousiastic about the euro but frustrated about the EU, Volker Wieland is convinced. In a TV interview on the occasion of the triennial meeting of the savings bank association, he said that if Italy gave up the euro, the land would suffer a recession which could also have an impact on the euro area.

From one day to the next, Italy had to introduce capital controls and change the currency to a lira 2.0 that would depreciate. "This would be a way for the Italian state to reduce its debt but on the other hand, its reputation would be damaged for a long time," Wieland warned.

Italy's problem is the low growth, he said. "Italy should continue on its reform path and make the economy more efficient". Also Italian economists warned that it was not possible to consolidate and the economy could not grow if government spending increased.

TV interview with Volker Wieland on the program "Land & Leute in Baden-Württemberg" (only in German)

"Sparkassentag 2018: Land & Leute in Baden-Württemberg Spezial" (full program)