ROME (Reuters) -Italy will soon leave the European Union’s excessive deficit procedure as it is close to bringing its budget shortfall to 3% of gross domestic product (GDP), the president of the European Central Bank said on Monday.<\/p>\n
Being under a so-called “excessive deficit procedure” reduces countries’ room for manoeuvre on tax and spending because EU rules oblige them to cut their fiscal gap by a prescribed amount each year until it falls to 3% or below of GDP.<\/p>\n
ECB President Christine Lagarde mentioned Italy’s improving fiscal prospects while discussing the budget crisis in her native France, where the government is at risk of collapsing in a confidence vote next week.<\/p>\n
“Italy is making very serious budgetary efforts today and will probably exit from (the EU procedure), getting soon to a deficit of 3%,” Lagarde said in an interview with Radio Classique.<\/p>\n
Economy Minister Giancarlo Giorgetti said in July that Italy could bring its deficit below 3% of GDP as early as 2025, paving the way for exiting the EU procedure in 2026, one year ahead of schedule.<\/p>\n
In April, the government pledged to cut the deficit to 3.3% of GDP this year from 3.4% in 2024, and to 2.8% in 2026.<\/p>\n
Italy is due to update its growth forecasts and deficit and debt targets this month under the so-called Document of Economy and Finance (DEF).<\/p>\n
(Reporting by Giuseppe FonteEditing by Alvise Armellini and Frances Kerry)<\/p>\n","protected":false},"excerpt":{"rendered":"ROME (Reuters) -Italy will soon leave the European Union’s excessive deficit procedure as it is close to bringing…\n","protected":false},"author":2,"featured_media":389638,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5174],"tags":[135022,472,2000,299,5187,14441,1699,135021,2199,135023],"class_list":{"0":"post-389637","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-eu","8":"tag-budget-shortfall","9":"tag-christine-lagarde","10":"tag-eu","11":"tag-europe","12":"tag-european","13":"tag-european-central-bank","14":"tag-european-union","15":"tag-excessive-deficit-procedure","16":"tag-italy","17":"tag-radio-classique"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/115129960600929162","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/389637","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=389637"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/389637\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/389638"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=389637"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=389637"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=389637"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}