Italien's Efforts to Reduce Budget Deficit
Italy is projected to take at least until 2026 to decrease its budget deficit to under the 3% threshold of the European Union. This delay may lead to a prolonged examination by the Brussels authorities. With a deficit of 7.2% of the gross domestic product last year, attributed to tax breaks for home renovations, Prime Minister Giorgia Meloni's government is anticipated to require several years to restore the state finances to a sustainable course.
Key Takeaways:
- Italy is expected to need until 2026 to reduce its budget deficit to below the 3% EU threshold.
- The government's measures, including tax breaks for home renovations, contributed to a deficit of 7.2% of the gross domestic product last year.
Do You Know?
- The 3% threshold for budget deficit set by the European Union.