Thursday 20 June 2019

EU to start infringement procedure against Italy

Italy is the euro zone's third-largest economy
Italy is the euro zone's third-largest economy
Independent.ie Business Desk

The European Commission will launch disciplinary procedures against Italy on Wednesday with a letter stating that Rome's fiscal policies lack prudence and could expose the nation to a shock loss of market confidence, newspaper La Repubblica said.

The newspaper quoted from what it said was a draft of a letter to be sent to the Italian government, which has embarked on major new welfare initiatives in an effort to boost the euro zone's third-largest economy.

The daily also said the Commission would ask Rome to make budget cuts of around €3-4bn to avoid EU sanctions, though it did not source this to the draft letter.

Reuters

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