Prime Minister Giorgia Meloni’s coalition, which took office in October 2022, has become Italy’s longest-serving government since World War II, surpassing Silvio Berlusconi’s 2005 record after more than 1,400 days in office. The milestone reflects a rare period of political continuity in a country that has had 68 governments in 80 years. Markets have rewarded the stability and a sharper improvement in public finances: Italy’s budget deficit fell from 7.4% of gross domestic product in 2023 to 3.1% in 2025, while the spread between Italian and German government bonds narrowed substantially. Former Prime Ministers Paolo Gentiloni, Mario Monti and Enrico Letta told CNBC that stability alone is insufficient, citing Italy’s 0.5% economic growth in 2025, youth unemployment of 18.9% in July and a debt-to-GDP ratio of 137.1%. They called for structural reforms, including stronger competition, tougher action against tax evasion and closer European cooperation. Investors remain divided over Italian government debt despite improved credibility and lower borrowing costs.