Off to the maneuver and to the Def, which revises the GDP estimates upwards for 2017. The Council of Ministers therefore approved in the same session both the Economic and Financial Document (Def) and the corrective maneuver worth 3,4 billion requested by Brussels to re-enter the accounts, in the form of a decree law with financial, development and measures in favor of the areas affected by the earthquake.
The new GDP estimate is equal to +1,1% against the 1% estimated so far. The Def then provides another 2,8 billion euros to be allocated for the public sector, state and non-state sector, to arrive at an average contractual increase of 85 euros with the 2016-2018 renewals. The text also shows the forecast of any charges for a forthcoming renewal: 2,3 billion for 2019 and 4,6 for 2020. The draft retraces the story: the resources available so far, after the injection set up with the Budget Law 2017, allow for the attribution of an average benefit of around 35,9 euros per month. To hit the 85 euro increase established in the agreement, it is estimated that 1,6 billion are needed for the public sector in the 'State' sector, something to be included in the next budget law (until now there was talk of a lower figure , around 1,2-1,3 billion). Another 1,2 billion would be needed for the 'Non-State' sector, to be allocated in the budgets of local authorities and other entities.
The Def also contains the National reform plan, in which the government is committed to measures on poverty, with an increase in income inclusion for those who lose their jobs; on competition and the simplification of civil justice; and on work, with the reduction of the tax wedge for young people and the Jobs Act bis with lower taxes for the second level of bargaining.
In the afternoon, the Minister of Economy, Pier Carlo Padoan, took stock of the recovery: "The country is in a transition phase towards more solid, sustainable and inclusive growth, we are pursuing it: it is necessary to strengthen this phase, capitalize on the ongoing strategy of benefits from the recent reforms and in which the Government is fully engaged". And he anticipated: "This afternoon the Def, in addition to updating the economic picture of public finance and the national reform program, includes the discussion of issues on inequality and well-being".
“Il GDP will grow by 1% in both 2018 and 2019 – added Padoan at a press conference -, but growth will strengthen again in 2020″. “As always, we respected our commitments – Prime Minister Paolo Gentiloni had previously said -: this maneuver is not as depressive as some expected. In fact, the Council of Ministers approved the Def, the national reform plan and the decree which contains various interventions including the budget correction without tax increases".
