(ANSA) - New York, January 16 - The International Monetary
Fund (IMF) said Monday that it has cut its growth forecasts for
Italy for 2017 and 2018.
It expects Italy's GDP to rise 0.7% this year, down 0.2 of a
percentage point with respect to its October estimate. It sees
growth of 0.8% in 2018, down 0.3 of a point on the previous
forecast.
The IMF gave the figures as it updated its World Economic
Outlook.
It said the Italian economy grew by 0.9% in 2016.
International Monetary Fund Chief Economist Maurice Obstfeld
on Monday called on Italy to do more for its troubled bank
sector.
"More can be done," Obstfeld said. "There is space for
action".
Obstfeld said that an important reform to encourage
consolidation and tackle the issue of non-performing loans has
been approved and "now must be applied".
Obstfeld also praised the structural reforms passed by the
government of ex-premier Matteo Renzi as "very important".
He also said that much remains to be done in Italy, stressing
that the approved reforms need to be applied. Renzi quit as
premier last month after his flagship Constitutional reform was
rejected in a referendum.
Premier Paolo Gentiloni's current executive is mostly made up
of former members of Renzi's cabinet.
IMF cuts Italy GDP forecasts (2)
Growth estimate for this year revised down 0.2 of a point