Italy Seeks EU Fiscal Flexibility as Energy Shock Squeezes Households and Businesses

ROME: Italy is asking Brussels for greater fiscal flexibility as the latest energy-price shock increases costs for households, manufacturers and other businesses.

Rome seeks room to respond

Prime Minister Giorgia Meloni has argued that sharply higher energy costs create exceptional economic pressure that should be recognised when the European Commission assesses national budgets.

Italy already carries one of the eurozone’s highest public-debt burdens, limiting the government’s room for large new spending programmes.

Energy shock tests EU budget framework

The challenge is not unique to Italy. Governments across Europe are weighing support for consumers and industry while also trying to comply with fiscal rules and contain inflation.

Follow Italy and EU economy coverage on NewsNationOnline. Source: Euronews.

Imran Siddiqui

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