Published by Global Banking and Finance Review
Posted on December 8, 2025
2 min readLast updated: January 20, 2026
The ECB criticizes Italy's proposal on gold reserves, warning it could impact central bank independence and urges reconsideration.
MILAN, Dec 8 (Reuters) - The European Central Bank urged Rome on Monday to reconsider a proposed amendment that would say the Bank of Italy's gold reserves belong to the Italian people, warning the move could jeopardise the central bank's independence.
In a document published on its website, the ECB reiterated its objections to the idea. Italy has reworded the amendment twice and the latest draft clarifies that the measure does not override European Union rules protecting central bank independence.
Italy's gold reserves - the world's third-largest - are recorded on the central bank's balance sheet, and the law says the Bank of Italy manages them in line with EU rules, which forbid using the gold to fund government spending.
Lawmakers from Italy's ruling party have proposed an amendment to the 2026 budget law. Initially it said the central bank's gold belonged to the state, but they have revised that to say it belongs to the Italian people.
The ECB last week urged Italy to drop the revised provision.
The ECB said Italy's Treasury on Thursday asked it to assess the latest version of the proposal. The document left unclear "what the concrete purpose of the revised draft provision is," it said in an opinion dated Monday.
"The revised draft provision is not accompanied by an explanatory note or memorandum explaining its rationale," the ECB said.
The ECB said that Italian authorities should consult the Bank of Italy to preserve its independence if they "consider it necessary to clarify the legal ownership of the gold reserves."
"The Italian authorities are invited to reconsider the revised draft provision," the ECB said.
(Reporting by Valentina Za; Editing by Cynthia Osterman)
A central bank is a national institution that manages a country's currency, money supply, and interest rates. It oversees the banking system and implements monetary policy.
Gold reserves are the amount of gold held by a country's central bank as a form of financial security. They are used to back the national currency and stabilize the economy.
Monetary policy refers to the actions taken by a central bank to control the money supply and interest rates in order to achieve macroeconomic objectives like controlling inflation and stabilizing currency.
The European Central Bank (ECB) is the central bank for the eurozone, responsible for monetary policy within the Euro area, aiming to maintain price stability and oversee the euro.
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