COLLEGE MEETING: The European Commission replies to the Italian government on its fiscal plans
The European Commission has today sent a letter to the Italian government regarding the fiscal measures set out by Prime Minister Giuseppe Conte and Finance Minister Giovanni Tria in their letter of 18 December.
On 21 November, the Commission adopted an Opinion on the revised draft budgetary plan of Italy, confirming a “particularly serious non-compliance” with the recommendation made by the Council of the European Union to Italy on 13 July. This was followed by a report under Article 126(3) of the Treaty of the Functioning of the European Union, concluding that an Excessive Deficit Procedure for non-compliance with the debt criterion was warranted. This conclusion was shared by the Eurogroup of 3 December, which also supported the ongoing dialogue between the Commission and the Italian authorities. Today’s letter takes note of the new fiscal measures presented by the Italian government and indicates that if they are voted by the Italian parliament before the end of the year, this would allow the European Commission not to recommend the opening of an Excessive Deficit Procedure at this stage.