Government-owned enterprises at state and local level represent a significant share of the Italian economy. They have undergone various reforms, most recently the 2016 Consolidated Law. The paper examines their diffusion, their main characteristics and recent developments, in light also of the interventions undertaken to reduce the scope of their activities and their number. It also assesses the regulatory framework for their corporate governance, comparing it with best international practices.
Government-owned enterprises are present in various sectors and throughout the whole territory. Although their number decreased between 2011 and 2018, the objectives of the rationalization and the closure of smaller and inefficient companies have been disregarded. The quality of governance also remains far from international best practices. The results suggest that an improvement in the professional skills of the directors and the quality of the public administration would positively influence their performance.
Published in 2020 in: Economia pubblica, v. 3/2020, pp. 7-44.
