Maneuver under analysis by the EU: focus on investments and less aid for energy

From today onwards, Europe’s eyes will focus on the numbers contained in our budget law, which begins its journey through Parliament this week. The way in which Brussels will move when giving its opinion on our accounts was explained yesterday by Paolo Gentiloni, European Commissioner for the Economy, guest on the Rai3 program “In half an hour”. «We will give opinions on the budgetary laws of countries, including Italy, on November 21st. But how do we do this? Relating the budget proposals to the recommendations we made last year. There are two fundamental messages: try to reduce the extraordinary support costs introduced in energy costs, which also contributed to containing inflation, and then see if countries managed to preserve space for public investments”. «On the one hand – warns Gentiloni – inflation should not be reignited because in countries with high debts it is not possible to have deficits that are too high, but on the other hand we cannot resign ourselves to zero growth. Therefore, preserving investments and being cautious with current expenses are two recommendations based on which we will issue our opinions.”

But another game is also being played in Europe that closely concerns Italy: the agreement to reach a new stability pact. «Confirming the suspension of the Stability Pact for 2023 was not a problem, because many countries did not want this extension – explained Paolo Gentiloni – so we will not go beyond 2023». The objective that European Union nations must establish, he added, is “to reach at least a political agreement on the new budgetary rules. If we then come to creativity, to imagine transitional periods, I believe it is infinite.”

The other topic on which the European Commission has been working in recent weeks with the Italian government and 15 other countries is the review of the Pnrr. “Everything, however, must be defined within the legal deadline – warned Paolo Gentiloni, that is, by the end of the year”. «On March 18, 2020, we suspended the rules of the Stability Pact, we confirmed the suspension in 2021, 2022 and 2023, and suspending it especially in 2023 was not a walk in the park. We will not go beyond 2023. The objective is to at least reach a political agreement on the new budgetary rules in the coming weeks. If we reach this agreement then we will find solutions, but if the various governments do not reach this agreement the situation will be more difficult, we will see what to do, but another year of suspension is excluded”.

Source: IL Tempo