An Italian crisis would be an “implosion” and have severe consequences for the country’s banking system, the former chief of the Eurogroup told CNBC Friday.

the 10-year Italian bond returned on Friday morning to levels not seen since 2014, hitting 3.73 percent as the dispute with Brussels intensified.

Valentin Marinov, head of G-10 forex strategy at Credit Agricole, told CNBC earlier this month: “Things to worry about is the fact that BTP yields have gotten very close to the 3.5-4 percent, which according to our own colleagues on the rate side could push us in a snowball territory whereby the debt could start growing so rapidly.”

Correction: This article has been updated to reflect that the EU has a 3 percent threshold for countries’ deficits compared to their GDPs.

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