The European Single Market and preparation for European economic and monetary union triggered a broad programme of structural reforms. Recent ambitious reforms in gas and rail transport show that Italy is increasingly willing to move further and faster than the European norm. The public sector is becoming more efficient, accountable, and transparent. If effectively implemented, the OECD concludes, these and other reforms in the programme will improve growth and job creation, facilitate business activity and competitiveness, and help establish conditions for more rapid economic and social progress throughout northern and southern Italy. Italian consumers are enjoying a wider range of services and lower prices in telecommunications.
Productivity is much higher in both telecommunications and electricity.
Regulatory reform and privatisation have transformed Italy's financial markets by removing entry barriers and permitting new entrants. Investment has increased in those parts of the Mezzogiorno which have reformed the most. The public sector is changing for the better. Many new quality procedures and regulatory institutions are in place, reinforced by watchdogs at the centre of government. Lack of transparency has been a major weakness, but is improving.