Ecofin to Italy: excessive imbalances, measures taken by the government will be examined

Italy is experiencing “excessive” macroeconomic imbalances, and it is rightly under “special surveillance”. This is one of the conclusions of the EcoFin Council meeting, the last session before the European Parliament elections. The Economy and Finance Ministers of the EU-28 have agreed that fourteen Member States are experiencing macroeconomic imbalances – Italy, with Belgium, Bulgaria, Croatia, Germany, Ireland, Slovenia, Spain, France, Hungary, the Netherlands, Finland, Sweden and the UK. Yet, our country suffers for a ‘different’ situation: together with Croatia and Slovenia, Italy is in fact experiencing “excessive” macroeconomic imbalances, then the EcoFin, given the situation, “welcomes the Commission’s plans with regard to specific monitoring of the recommendations, which it may step up if deemed necessary,” reads the document of Council Conclusions.

Member States acknowledged the Commission’s Recommendations of the in-depth review on macroeconomic imbalances released in March 5. Italy is under spacial surveillance due to its remarkable public debt, a weak growth and high unemployment – true Italian Achilles’ heels. The Italian government led by Renzi must work hard: imbalances can be adjusted only with reforms. “Economic recovery is gaining ground. Supported by policy measures, this recovery is coupled with progress towards the correction of macroeconomic imbalances,” read the conclusions.

The EcoFin Council hence “agrees” to the Commission’s intention of “assessing” recently adopted as well as the planned policy measures outlined in National Reform Programmes and Stability and Convergence Programmes, with a view to determine “whether the policy actions are adequate in view of the challenges and risks linked to the imbalances.” Italy shall reply to Brussels, sooner or later, given that we are under special surveillance. Save the date, June 2 will be the day in which the Commission will issue new, targeted recommendations for each country.