Italy has excessive economic imbalances says EU

(ANSA) - Brussels, November 26 - Italy has excessive economic imbalances, the European Commission said in its Macroeconomic Imbalance Procedure report Thursday. Italy is at risk due to high debt, inadequate productivity and scant competitiveness. The Commission will carry out in-depth reviews of Italy and another 17 countries it deems at risk due to economic imbalances. These include Germany, which is being monitored due to its high surplus. The Commission said Italy needs monitoring because falling exports, rising youth unemployment, dropping productivity and low inflation hamper its ability to be competitive.
    Italy's economic weakness can be seen in the decline of the investments-to-GDP ratio, which was partially caused by a credit crunch in 2014, the Commission said in its report.
    Non-performing loans still weigh on the nation's credit system, it said.
    Unemployment peaked in 2014 but remains high, and while social indicators and poverty figures remained stable, their levels are a cause for concern, the report said.