Bank of Italy chief warns Italy's debt may not fall this year

ROME (Reuters) - Bank of Italy Governor Ignazio Visco warned on Tuesday that Italy's public debt may not fall this year as the government has targeted. Italy's debt-to-GDP ratio, at 132.7 percent in 2015, is the highest in the euro zone after Greece's, and Prime Minister Matteo Renzi's government has repeatedly assured its partners that it would begin to fall this year. However, with the economy still listless, Visco warned in a speech to the Bank of Italy's annual assembly in Rome that "the way the economic context will evolve could hinder the achievement of this goal in 2016." He called for a "careful monitoring of public finances and the implementation of a programme of privatisations" to "approach" the target of 132.4 percent this year and ensure the debt comes down significantly in 2017. (Reporting By Gavin Jones)