EU's Gentiloni: Italy's recovery plan issues have EU-wide implications

ROME, March 30 (Reuters) - Italy’s problems with its EU-funded post-COVID recovery plan have implications for the whole bloc, EU Economy Commissioner Paolo Gentiloni said on Thursday.

“Nobody can ignore implementation difficulties, but we all need to focus on the effort to overcome them,” Gentiloni said in a speech at a Rome conference.

“The prospects for sustainable growth for Italy, and the fate of an unprecedented European programme are at stake,” he added.

Gentiloni said he does not see contagion risks for the European banking sector from recent SVB and Credit Suisse crises, but called for more progress on the European banking union.

He also said the EU Commission would present “in the coming weeks” proposals to strengthen banking crisis management and national deposit guarantee schemes. (Reporting by Alvise Armellini, editing by Gianluca Semeraro)