An Italian parliamentary committee has approved an amendment to the 2026 national budget declaring that the gold reserves held by the Bank of Italy belong to “the people,” despite repeated warnings from the European Central Bank (ECB). The move has sparked debates about the sovereignty of Italy’s national assets and the independence of its central bank.

Details of the Amendment

The budget committee of Italy’s upper house of parliament, the Senate, approved the text stating:

“Gold reserves managed and held by the Bank of Italy, as recorded on its balance sheet, belong to the Italian people.”

The legislation clarifies that the amendment does not override European Union rules safeguarding central bank independence. The approval follows earlier criticism from the ECB, which issued two legal opinions warning that such measures could undermine the autonomy of the Bank of Italy.

Economy Minister Giancarlo Giorgetti said in parliament that the matter has been resolved following discussions with ECB President Christine Lagarde on the sidelines of a Eurozone finance ministers’ meeting in Brussels. He emphasized that the amendment represents a political principle rather than a step to alter the Bank of Italy’s balance sheet or use gold reserves to finance government debt.

Background: Italy’s Gold Reserves

Italy holds the world’s third-largest national gold stockpile, totaling 2,452 metric tons, valued at approximately $300 billion, or roughly 13% of the country’s GDP. Only the United States and Germany have larger gold holdings.

The amendment stems from concerns raised by Giorgia Meloni’s Brothers of Italy party, which argued that foreign stakeholders in Italy’s central bank should not have claims over national gold reserves. A prior, stronger proposal sought to explicitly declare that the gold belonged to the state on behalf of the Italian people, but it was reworded during government deliberations to avoid conflict with EU regulations.

Political and Economic Implications

The parliamentary panel’s approval underscores Italy’s ongoing debate over national sovereignty, fiscal policy, and the role of the central bank. While the ECB has repeatedly stressed that the Bank of Italy must remain independent, proponents of the amendment argue it is essential to assert that national assets belong to the Italian people, not external entities.

Minister Giorgetti clarified that there are no plans to transfer the gold or alter its accounting on the Bank of Italy’s balance sheet, which would violate EU prohibitions against central banks directly financing public spending. Both houses of parliament are expected to approve the full budget before the end of 2025.