Tria says that cutting deficit at this stage would be suicidal for Italy
Reading Time: 1 minute

Italy is ready to continue talks with Brussels over Italy’s 2019 budget plan, but Rome will not give up “fundamental pillars and characteristics” of the disputed proposal, Economy Minister Giovanni Tria said on Friday.

Rome hopes to stimulate the Italian economy by raising the deficit to 2.4 percent GDP. The populist cabinet, made up of anti-immigration League party and the anti-establishment 5-Star Movement, has strongly rejected the 0.8 deficit pledge made by the previous government.

DW reports sticking to it would require a “very brutal fiscal contraction,” Tria said on Friday.

“For an economy that is slowing down sharply, this would actually be suicide,” he said.

“I do not think that the European Commission expects an action of this kind, even if it would formally comply with the rules.”


Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

%d bloggers like this: