September 14, 2017 / 10:30 AM / a year ago

Stability of Italian government remains risk for euro zone: Fitch

LONDON (Reuters) - The stability of Italy’s government remains a source of risk for the euro zone, rating agency Fitch said on Thursday.

The Italian flag waves in front of The "Altare della Patria" also known as "Vittoriano" downtown Rome, Italy, March 23, 2016. REUTES/ Stefano Rellandini

“Our biggest concern in Italy is that we might not get a stable government,” Fitch analyst Ed Parker said at a conference hosted by the firm.

“Also, we can’t completely discount the bigger downside risk of a eurosceptic party being part of a coalition.... while populism has receded in Europe this year, Italy is a battle that remains to be fought,” Parker said.

Reporting by Marc Jones and Claire Milhench

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