Can The Italian Referendum Boost The Italian Economic Recovery?

Author:Mr Alessandro Gravante

On Sunday 4 December 2016 a constitutional referendum will be held in Italy. Voters will be asked whether they approve of amending the Italian Constitution to reform the appointment and powers of the Parliament of Italy, and the partition of powers of State, Regions, and administrative entities.

Should the amendments be approved by Italian voters (as hoped by Prime Minister Matteo Renzi), firms of all sizes could witness a dramatic change in the Italian economic scenario.

Confindustria reports that a more robust government, easier conditions for investors and in general, brighter economic prospects can be expected should there be a positive outcome to the referendum,. The future of the Senate (and the consequent passing of future laws from the lower chambers) is at stake together with the possibility of bringing the power of regional governments back to the centre.

Moreover, as reported by Francesco Starace, the chief executive of Enel (the main electricity company in Italy), the referendum could bring even more advantages for companies, in that politicians could be encouraged to take further action and implement further reforms in order to deregulate the economy, thus boosting its...

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