Europe's pressing on Italy is underway. "It is known that several Italian government officials have pledged to abide by the rules. I will not reveal the conversation I had with Minister Tria, but we are confident that Tria will do exactly what he has publicly pledged to do." The words are from the president of the Eurogroup Mario Centeno who uses the velvet glove to get the message to the destination for Lega and Movimento 5Stelle, or for ministers Salvini and Di Maio. “We think it is very important to understand that the Eurozone is made up of 19 mature democracies – he adds – who know precisely what this means”. Within the eurozone we share responsibilities and follow the rules across a very broad spectrum of policy options that each country can take: I can underline that the expectation is that Italy will follow the rules in the next budget formation process”. It is not explicit how "Italy does its homework" of the Merkel-Schaeuble binomial but the substance is not very different. More diplomatic is the president of the Commission Valdis Dmbrovskis who judged the meeting with Tria as "very positive".
Before them, Eurocommissioner for Economic Affairs Pierre Moscovici had used severe tones that left no room for doubt and made it clear what Brussels' concerns were about the government's Budget Law. “Italy must reduce the structural deficit as the other countries in the euro area do, it has benefited from all the flexibility, we continue to have a positive dialogue with Italy, but the rules, which are not stupid because they allow us to reduce the public debt, are made for everyone”, began Moscovici in conversation with journalists before the start of the meeting which took place in the morning.
The European commissioner for economic affairs noted that “if you want to invest in Italy, you need less debt and more investment capacity, which is why I continue to ask for serious public finances. Of course you know I'm against austerity, but austerity is one thing, lack of seriousness is another”. On the government's choices in relation to the 23019 budget, Moscovici said: "I want to believe that realism and pragmatism will assert themselves: for my part, I work with a constructive, positive spirit, in dialogue with Tria and I am always confident in the great country".
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THE COST OF THE MOVEMENT RISES TO 30 BILLION
The Eurogroup meeting took place just after the last government meeting on the budget law, on Thursday. According to the latest press reconstructions, the requests of the 5 Stars on the one hand and the League on the other have brought the cost of the maneuver to 30 billion to which must be added the 12,4 billion needed to sterilize the VAT increase.
In the meeting that took place at Palazzo Chigi on Thursday, the 5 Stars allegedly snatched 10 billion from the Minister of Economy Giovanni Tria for the citizen's income. Less than the 17 billion calculated by the Movement but still sufficient to start the support measure starting from May 2019.
Citizens' pensions are another chapter: the estimated cost of 2 billion to bring the minimum from 500 to 780 euros.
For its part, the League, at the top of Palazzo Chigi, would have managed to raise almost about 8 billion to carry on the 100 quota held by Matteo Salvini to overcome the Fornero Law. The quota 100 is the sum between the age and the years of contributions but in order not to make the measure too onerous it would have been decided to fix a minimum age of 64 years (36 of contributions).
Finally, the flat tax for VAT numbers and professionals: pending a more radical reform of tax rates, the League would still have obtained the flat tax of 15% for companies and VAT numbers under 100 thousand euros in turnover. The objective of 2 personal income tax rates of 21 and 31 per cent therefore moves towards the end of the term.
In short, the maneuver it has changed shape in the last few days and grows as the hours go by. Europe awaits the numbers and in the meantime sends very clear messages.
MOAVERO IN CERNOBBIO
Foreign Minister Enzo Moavero Milanesi spoke in Cernobbio about the Italian maneuver and the European budget.
On the manoeuvre, the minister limited himself to saying that work is underway and that everyone will be informed at the right time. On the EU budget, on the other hand, he specified that “the EU Commission presented the formal proposals before the summer, we think that the multiannual budgetary framework of the European Union is not adequate for the challenges that the EU must face. We think that this budget needs to be reviewed and that we need to work on the way this budget is fed”. Moavero added that "if a serious immigration policy is to be implemented, with a strong development and investment action in the countries of origin of the migrants, resources greater than those currently envisaged are needed".
