Italy imposes term limit on central bank governor

Premier Silvio Berlusconi's Cabinet on Friday 2 September approved a reform plan for Italy's central bank that will introduce a seven-year fixed term for the Bank of Italy governor.

Italy will adopt a seven-year term limit for the governor of the central bank, that will only be applied to future governors and not to Fazio, Berlusconi said Friday after a cabinet meeting in Rome. Fazio was appointed for life.

``This is a very important measure that will allow us to recover credibility and enforce