Not Germany, Austria, or Switzerland is Italy

This is not Germany, Austria, or Switzerland is Italy - It is Italy – a nation not known for its work ethic or admiration of rules and regulations, and one which, last week, seemed to be teetering on the brink of financial and political meltdown. "The rest of Italy definitely envies us," said Mr Durnwalder, who is president of the semi-autonomous South Tyrol region. The area, with its bilingual German and Italian population, sits on the geographic, political and cultural fault line of the eurozone. It has almost no unemployment, its inhabitants are among the richest in the country, and in stark contrast to city halls elsewhere in Italy, the local administration has no debt. "The rest of Italy envies the results," he adds with a chuckle. "But not the work." Italy, the euro zone's third largest economy, is again at the centre of the debt crisis, as fears grow that its borrowing costs could hit levels that overwhelm the capacity of the bloc to provide support amid chronic political instability in Rome. The situation was described as "confused and dramatic" last week by Mario Draghi, the new head of the European Central Bank - who himself is an Italian. Italy has the second highest public debt in the eurozone after Greece – the equivalent of 120 per cent of GDP – and is suffering from chronically stagnant growth. The three main credit agencies have all downgraded Italy recently, meaning that its economy is judged to be less secure than those of Slovakia and Estonia – the two poorest eurozone countries. South Tyrol, by contrast, an area of 3,000 square miles and 500,000 inhabitants that retains strong control over its own finances, retains Triple A Star credit rating. Average GDP per head in the area around Bolzano was €34,600 - more than double that of Sicily, which has a similar degree of autonomy - and South Tyrol's unemployment is barely two per cent. In Sicily it is around 25 per cent, and the regional economy is blighted by corruption, low productivity and poor administration. The rest of Italy, says Mr Durnwalder, must now likewise learn to live within their means, as they do in the Alpine valleys he calls home.