City of Rome Bonds' Risk and the Municipal Bond Market in Italy
City of Rome's finances have received lot of attention in the Italian political debate recently. The two forces in power at the central government, Lega and 5 Star Movement, are arguing about whether transferring municipal debt to the central government. But, from the municipal bond investors' perspective, what is the real impact? And what are the determinants of risk considered by investors in the Italian municipal bond market? This is the subject of a recent article published on the leading Italian economic newspaper, Il Sole 24 Ore [translated by Google Translate], and an academic article.