European Central Bank Governing Council member and Bank of Italy Governor Fabio Panetta warned that Europe's central banks could increasingly fall under fiscal dominance as demands from governments for pension spending and industrial support grow. Speaking at an event in Rome, Panetta said that if voters lean toward parties and policies that favor fiscal expansion, central banks would be unable to stop the trend, noting that tensions are rising between heavily indebted governments and central banks, putting central bank independence at risk. He also hinted that ECB President Christine Lagarde might become involved in next year's French presidential election.