in Italy, after a week long dispute with the EU Commission its draft budget now, but concessions. The borrowing should be in the coming year to 2.04 per cent of economic output instead of the planned 2.4 percent, said the Prime Minister, Giuseppe Conte on Wednesday after a Meeting with EU Commission chief Jean-Claude Juncker in Brussels. The EU Commission had rejected the previous budgets from Rome, because they are, in their opinion, a gross violation of the stability criteria in the Euro area. The Euro-Finance Ministers – to decide the question ultimately joined the evaluation. Italy opened a criminal case threatens. At the end of which penalties could be in the billions.
The EU Commission after the Meeting between Conte and Juncker chances for an amicable solution. “Good progress has been made,” said a spokeswoman for the Brussels authority. “The European Commission will now analyze the proposals it has received this afternoon.” The government’s populist Five-star movement and right-wing Lega in Rome wants promise to especially expensive choice such as a citizens income and reform of the pension system to implement. Therefore, it is planning for 2019 to significantly more spending. The financial markets react for months, nervous about the debt plans.
Italy has a high public debt of around 2.3 trillion Euro. That is more than 130 percent of gross domestic product (GDP). Are allowed according to the Euro stability rules, only 60 per cent. A country is about, it must generally reduce its debt in the longer term. Conte stressed that the government could make savings, without their key projects, such as a reduction in the retirement to victims of age and the citizen’s income. He was confident that Italy criminal could avoid payments. “We will not betray the trust of the Italians,” he said. Juncker have listened to the comments “carefully”, said the spokesperson. The EU Commission wants to look at the plans in the coming days in more detail. So far, it was expected that the authority could launch in December or in January the criminal case. It now remains to be seen.
