MILAN, April 29 Rating agency Moody's will
monitor the ability of the newly formed Italian government to
overhaul the economy, a senior Moody's official told an Italian
newspaper on Monday.
"We will have to verify the commitment of the new government
and its ability to resolutely pursue the huge structural reforms
the country needs to improve its creditworthiness," Dietmar
Hornung, senior credit officer at Moody's, told La Repubblica.
"For now the situation remains difficult," Hornung said.
The ratings agency said on Friday it had kept Italy's
sovereign debt rating at Baa2 thanks to the country's reasonably
low current cost of funding and its primary surplus.
But Moody's maintained its negative outlook for Italian
sovereign debt because of prolonged economic crisis.