Concerns that Italy is headed for catastrophe in the case of a destabilizing outcome from the referendum to be held Sunday are misplaced, Italy's foreign affairs minister has told CNBC in an exclusive interview.
According to Paolo Gentiloni, increasing market fears of a potential default are only relevant to the Italy of 2011, not the country today.
"We had a completely different economic and financial environment in Italy at this time," he said.
Italians are being asked on December 4 to decide on whether to accept a package of constitutional reforms proposed by the country's center-left Prime Minister, Matteo Renzi. The prime minister has previously stated that he would resign if the reforms are rejected, but Gentiloni said that Europe would avoid any fallout even if the result forces Renzi's resignation.
"In any case we will have a weaker and more unstable country, but not a threat for the European economy," he affirmed.