Italy faces potential EU censure for rising debt levels

The European Union is warning Italy that it may face censure for not doing enough to get its debt levels down to prescribed levels.

In its annual economic analysis of EU countries, the executive European Commission is urging Italian authorities to come up with additional measures, worth up to 0.2 percent of its annual GDP.

Pierre Moscovici, the commissioner responsible for economic and financial affairs, said Wednesday that Italy hasn't reduced its debt in line with the agreed path. Italian debt is expected to rise to around 133 percent of GDP.

However, he said any so-called "excessive deficit procedure," will depend on the Commission's spring economic forecasts.

The Italian economy has struggled to gain momentum over the past few years amid worries over its banking sector and political uncertainties.