Despite the slowing down of the economic crisis, it was not certain that a long-lasting recovery had begun, Italy's Central Bank Governor Mario Draghi warned on Thursday.
In an address marking World Savings Day, Draghi said a real recovery needed to be "based on factors other than special economic policy measures" adopted to deal with the crisis, local media reported.
What Italy needed, he explained, was a greater economic growth that enabled the implementation of banking reforms and new market rules.
Draghi, who is also chairman of the Group of 20's Financial Stability Board (FSB), said that in regard to the Italian economy "the acute phase of the crisis is over and gross domestic product (GDP) was back on the rise in the third quarter after declining for over a year."
However, he warned that while some factors did appear favorable, others remained critical, including the slump in domestic consumer demand.
Employment prospects also remained gloomy, he added, referring to a 3.3percent year-on-year drop in the number of employed in September, a trend expected to continue for the rest of the year.
As a result of the global financial crunch, Draghi warned that "nothing will be the same again, and all players on financial markets, starting with banks, should accept this fact."
According to the FSB chairman, "the market place should not forget that the crisis was the consequence of its own imprudence.
"This is why new market rules ensuring that a similar situation does not occur again must be introduced gradually in order not to hinder the economic recovery."
Talking of Italian banks, he said that "our banking system weathered the crisis better than many others." However, the country "should not let its guard down because the system remains very fragile," he cautioned.
To meet future challenges and avoid other crises, Italy must "urgently get back on the road to reforms to create the conditions for a greater economic growth, which is the foundation of financial stability.
"We need to tackle our economy's structural weaknesses in order to foster a lasting recovery, which is not just based on exports, "Draghi concluded.