This is a formal letter writes by Trichet and Draghi to the Prime Minister Berlusconi to discuss the situation in Italy’s bond markets on 5 August 2011.

The first paragraph is an introduction of some background notes about the Italian’s situation.

The second deals with the Government summit of 21 July 2011 where Draghi and Trichet explain the Italy’s need to urgently underpin the standing of its commitment to fiscal sustainability and structural reforms.

In the third part of the text they discuss a list of what Italy has to change: the first two points are organized in other three argumentations from a to c. The first point deals with the measures to enhance potential growth, in particular they think that the key is the increase of public services’ quality. To sustain this purpose they think to a reform strategy, further reform the collective wage bargaining system and review rules regulating the hiring and dismissal of employees. The second point is concentrated on the need to take immediate and bold measures to ensuring the sustainability of public finances. For this reason it’s better if they will do an additional-corrective fiscal measures, intervention in pension system, a retirement age of women in the private sector and a reduction of wages. Besides, they will do an automatic deficit reducing and they should placed commercial debt and expenditures of regional and local. The last point is an encourage to take measures to ensure a major overhaul of the public administration to improve directorial efficiency and business friendliness, the use of performance indicators should be systematic and at the end the govern should be strengthened the actions that are aimed to exploiting economies of scale in local public services.