FX.co ★ EC: Italy's budget for 2019 does not comply with EU Stability and Growth Pact standards

Valdis Dombrovskis, Vice President of the European Commission for Euro, Financial Stability and Social Dialogue, said that the EC opens the so-called excessive budget deficit procedure for Italy since the draft budget of the country for 2019 does not meet the requirements of the Stability and Growth Pact.According to the terms of the Covenant, the budget deficit should not exceed 3% of the country's GDP, and the public debt - 60% of GDP. The draft Italian budget deficit for the next year goes against this rule, so the EC will develop an action plan to normalize certain budgetary indicators of the country.