Abstract

Italy’s economy has been severely hit by the coronavirus crisis, after a decade of stagnation and decline in its capabilities and performances. The challenge of reconstructing the country’s economy requires a new industrial policy, in the context of Europe’s Green deal strategy and new initiatives of the «Recovery Fund». The national and European resources that are made available for addressing the crisis have to focus on key priority fields, including digital technologies, environmentally sustainable economic activities and welfare and public health services. There is also a need for new policy tools and institutions with the tasks of managing public investment, holding government shares in publicly owned large firms, and supporting new economic initiatives with a public investment bank.