Italian government backs down on part of spending plans

Italian government backs down on part of spending plans

MILAN – The Italian government on Wednesday indicated a softening in the public spending plans that have alarmed investors and eurozone partners, saying they would be gradually lowered after 2019.

Economy Minister Giovanni Tria confirmed that the deficit to GDP ratio next year would be higher than agreed by the previous government with the European Commission. But he added "that there would be a gradual reduction in the deficit in successive years."

The remark confirms a report by Corriere della Sera that the 2.4-percent budget deficit in the new spending plan would apply only to next year and not for the […]

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