The EC rejected the draft budget for Italy, and threatens sanctions

ЕК отклонила проект бюджета Италии и грозит санкциями

The building of the European Commission in Brussels

The Italian government has laid the draft of the budget debt in the amount of 130 percent of GDP – twice the norms agreed by the European Union.

The European Commission on Wednesday, November 21, completely rejected revised budget plan Italy in 2019. As explained by the officials in Brussels, this step is associated with the “exceeding agreed parameters of the deficit”, said Agency dpa.

On the basis of normative documents of the European Union, government debt must not exceed 60 percent of GDP. The populist government of Italy has laid the draft of the budget debt in the amount of 2.3 trillion euros, which is 130 percent of GDP. Due to the projected costs the government intends to lower the retirement age, reduce the tax burden and to enter the project of social guarantees for the unemployed based on the German model.

According to the European Commissioner for economic Affairs, Valdis Dombrovskis, Italy plans to solve their problems at the expense of further lending and the proposed project will adversely affect the economic situation in the country.

Brussels has threatened to start a formal investigation against Italy. The decision, threatening Rome multibillion-dollar penalties to be taken by the Finance Ministers of the EU countries.

Earlier, the government of Italy has rejected the demand of the European Union on introduction of amendments to the draft budget.

Source: Russian service of DW


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