Italy's central bank governor warns of economic slowdown due to rising coronavirus infections

Source: Xinhua| 2020-10-31 06:46:36|Editor: huaxia

ROME, Oct. 30 (Xinhua) -- The governor of the Bank of Italy Ignazio Visco said Friday that the renewed spread of the coronavirus put prospects for an economic recovery in Italy and in the rest of the eurozone at risk.

Visco, a member of the governing council for the European Central Bank, also said the risk of deflation in Italy and the European Union remained, but it was diminished compared to the early period in the pandemic.

Visco, who was speaking in Rome on the occasion of the World Savings Day, said that the new wave of coronavirus infections across much of Europe could "create a new slowdown in production and in the demand for goods and services."

His remarks came after Italy announced on Friday that its economy grew by 16.1 percent in the third quarter of the year, officially ending the recession that gripped the country in the first half of the year due to the pandemic. But he said the coronavirus' resurgence in recent weeks could "threaten the results achieved" so far, reducing consumer and business confidence and reducing spending. Enditem