The Italian economy “is growing, but not as fast as we would like to see” e growth forecasts “will be revised downwards” in the update of the Economic and Financial Document that the Government will release shortly. This was announced by the Minister of Economy, Pier Carlo Padoan, during his speech at the Euromoney Conferences.
“Gross domestic product data are positive again – commented Renzi -, but they are still not going as fast as we would like. Our government is not hiding the truth. Thanks to the reforms, first of all that of labour, Italy has finally put the machine back in the right direction, after years of being at a standstill. Now ours is the most interesting country in which to make investments”.
Data on the situation arrived from Istat shortly after July industrial production, up 0,4% from June and down 0,3% year over year.
As for the tax side, Padoan, after saying yesterday that the personal income tax cut is postponed to 2018, he assured that taxes “will continue to fall: we are looking at other items of expenditure on which to intervene. We have to do it credibly. The government will continue to implement public spending cuts to finance tax cuts."
On the banking front, the minister stressed that the numbers on NPLs in the belly of Italian institutes "they are sometimes exaggerated: you have to look at the real numbers, which are concentrated, moreover, in a certain number of banks. It takes some time to return to normal conditions, I'm not saying it but the ECB. The measures related to the sector are going in the right direction, not only on NPLs but also towards a more robust structural configuration", added Padoan, citing the reform of the popular banks, the CCB and the foundations, measures which "are beginning to give their fruits giving life to stronger banks also with M&A operations”.
Finally, a passage on reform constitutional, which according to the number one of the Treasury “will have a great impact on the economy. The reform of the Senate will make the legislative process faster and more effective as well as reduce the costs of politics. Voting Yes not only reduces costs but simplifies the public machine”. In the event of a No victory, on the other hand, "an opportunity to make the economic system work better will be lost".
