(Finance) – “The infringement procedure is widely expected news, after all, with the deficit boom induced by the exceptional measures we certainly couldn’t think of staying below 3%. We have a path that we have started with the beginning of the activity of responsible government and sustainable public finance that is appreciated by the market and by the European institutions and we will continue like this. So it’s nothing surprising.” Economy Minister Giancarlo Giorgetti said this on the sidelines of the presentation of the UPB report, commenting on theopening of the European procedure for excessive deficit.
Im looking at the next budget maneuver “we need to be very selective, we need to favor the most useful policies and evaluate those that are less useful. It is a great job that we will have to do in the coming months“, added the Minister who, when asked whether confirmation of the tax wedge cut is among the ‘useful’ measures, replied: “I said it and I repeat it, of all the measures being discussed, this is a ‘must’. A mandatory commitment and the first thing we must ensure.”
By maintaining a prudent budget policy and with selective interventions “I believe it is necessary that the adjustment path that will be defined in the Structural Budget Plan on which we are working must allow us to provide the necessary support for growth and support of labor income”, It reaffirmed. When budget constraints impose restrictions on action “the available resources – he added – must inevitably be allocated to mitigating the impact of any shocks on the most exposed subjects”
“Over the last few years, the Italian economy has shown excellent resilience, in an unstable and uncertain global context, with overall positive macroeconomic trends, particularly in terms of employment”https://www.Finance.it/DettaglioNews /113_2024-06-19_TLB/.” The Government is well aware that, in the context in which we find ourselves, it is necessary to maintain a responsible approach in the planning and management of policy budget. A line, this – he specified – that we have held, with a coherence that our partners in Europe and the markets recognize in us.”
Autonomy chapter: a will arrive “principle of responsibility” and “cThere will be more money for the deserving and less money for those who don’t deserve it.” “The Leps are something important regardless of autonomy – he stated – Autonomy seeks to enhance a principle that should belong to every family and every institution, that is, the principle of responsibility. And therefore it will tend to reward the administrators of the South, of the Center and the North are good and punish those who waste public resources. There will be more money for the deserving and less money for those who don’t deserve it.”
Finally, a passage also on the reform of European budget rules which “it didn’t fully go in the direction I had hoped for”. “The closing of an agreement – he explained – required a compromise between different instances”. The Minister therefore hoped that the topic will be discussed again in European institutional bodies. “The challenges that we are and will have to continue to face in the coming years, represented in particular by the double green and digital transition, by defence, by the policies necessary to combat demographic decline – the Minister further highlighted – will require significant investments to be developed over a period very long, which they will have also impacts on future generations: the methods of their financing will not be at all neutral to comply with the new constraints”https://www.Finance.it/DettaglioNews/113_2024-06-19_TLB/.”Proceeding in no particular order, with national policies, does not seem to be an adequate solution to the challenges that await us” and at the same time “inaction could represent a further risk that we cannot afford. I therefore hope that we can soon return to discussing these issues in European institutional bodies.”