Europe is sticking with us, but this time it's not from Brussels. Olli Rehn, EU commissioner for economic affairs, spoke today in front of the House and Senate budget committees, explicitly criticizing the latest Italian choices in the field of fiscal policy. Starting with the most troubled one: “The decision to abolish the IMU on the first house raises concerns, because it goes in the opposite direction to the recommendations” of the European Union, said Rehn, to then clarify that “the new service tax could be consistent with the recommendations, but only if it is well configured”.
Promoting growth is necessary, “but new interventions must not jeopardize budget targets”, added Rehn, underlining that if the Italian budgets are not in line with the targets “the Commission will have the duty to ask corrections. If a State breaches the reference values on deficit and public debt, the Commission must open a procedure for excessive deficit”, which was closed for our country just four months ago.
The Commissioner then recalled that "in some countries, including Italy, growth data is disappointing, unemployment remains too high and credit to small and medium-sized enterprises is insufficient”. In short, to say that the crisis is over "is premature".
As for tensions in the Italian majority, Rehn stressed that the recent overtaking by Spain in terms of spread demonstrates how much the performance of government bonds is influenced "by political stability".
On the front of wagesmoreover, Italy, like France and Finland, is among the countries of the European Union "that have not yet managed to balance" the dynamics of wages and productivity, continued Rehn.
Finally, an automotive metaphor with a flattering reference to Made in Italy: like Ferrari, our country "embodies a great tradition of style, technique and ability", but to win "unfortunately, talent is not enough", he warned Rehn.You also need to have “the most competitive engine, you need to be ready to change and adapt. I hope Italy drives with two hands on the wheel and stays on track. Also because the track situation is improving: encouraging signs were seen during the summer, the euro area is close to the turning point”.
