spot_img

Italy back in Europe


Together, Roberto Gualtieri and Paolo Gentiloni can help Italy understand that deficit spending is not a budget. Reforms and open dialogue with the EU are solutions

Italian Prime Minister Giuseppe Conte talks to Paolo Gentiloni and Economy Minister Roberto Gualtieri as they wait during a confidence vote at the Parliament in Rome, Italy, September 9, 2019. REUTERS/Remo Casilli

Together, Roberto Gualtieri and Paolo Gentiloni can help Italy understand that deficit spending is not a budget. Reforms and open dialogue with the EU are solutions

With its double act Roberto Gualtieri-Paolo Gentiloni, Italy should be spared the dramatic developments it has experienced for the past five years over the decimal points required to comply with the Stability and Growth Pact and the threats of excessive debt procedures linked to its excessive deficit that had become dramatically tangible during the Conte 1 government run by the Five Star Movement and Matteo Salvini‘s League. The Minister for the Economy of the Conte 2 government is the Italian political figure who has the best understanding of all the highroads and byroads of the complicated European Union budget regulations, mainly thanks to his experience as president of the Economic Affairs Commission of the Euro-Parliament and one of the “sherpas” engaged in the negotiations with member states on the reforms to the Stability and Growth Pact. The future European Commissioner for Economics is a refined politician, capable of finding the right balance between orthodoxy and flexibility on public accounts and he will be in a position to use his clout as a former prime minister not just during the internal negotiations within Ursula von der Leyen’s commission, but will also have the opportunity to rely on a certain amount of ‘moral suasion’ towards Euro-zone capitals. The Gualtieri-Gentiloni team can also help make the Stability and Growth Pact more favourable towards investments, as we approach the discussion to be held in the coming months on how it should be simplified. But we mustn’t kid ourselves that the two of them are capable of bring about a major reform of European tax laws that might allow Italy to run up much more deficit spending. It would also be wrong to imagine that the two Economics ministers in Europe can hope to solve the structural problems of the Italian economy seeing as Rome doesn’t have the political will or courage to tackle them.

This content if for our subscribers

Subscribe for 1 year and gain unlimited access to all content on eastwest.eu plus both the digital and the hard copy of the geopolitical magazine

Subscribe now €45

Gain 1 year of unlimited access to only the website and digital magazine

Subscribe now €20

- Advertisement -spot_img

A Global Space for A Global Challenge: A Tale of Two Worlds

Taiwan 2024 Presidential Elections

The Climate Change Refugees of the Pacific

Slovakia: 2023 Prime Minister’s Elections

rivista di geopolitica, geopolitica e notizie dal mondo