{"id":444015,"date":"2026-01-29T17:11:25","date_gmt":"2026-01-29T16:11:25","guid":{"rendered":"https:\/\/www.eunews.it\/2026\/01\/29\/poca-crescita-nuovo-debito-interessi-in-italia-gli-ingredienti-per-linsostenibilita-di-bilancio\/"},"modified":"2026-01-29T17:27:42","modified_gmt":"2026-01-29T16:27:42","slug":"low-growth-new-debt-interest-rates-in-italy-ingredients-for-budgetary-unsustainability","status":"publish","type":"post","link":"https:\/\/www.eunews.it\/en\/2026\/01\/29\/low-growth-new-debt-interest-rates-in-italy-ingredients-for-budgetary-unsustainability\/","title":{"rendered":"Low growth, new debt, interest rates: in Italy, ingredients for budgetary unsustainability"},"content":{"rendered":"

Brussels – Italy has everything it takes to scare the eurozone:<\/strong> growing debt, expenditure exceeding revenue, and increased spending to cover interest on the debt. It has practically everything it needs to make its budget situation unsustainable. This is how the Commissioner for Economic Affairs, Valdis Dombrovskis, described the situation in his response to a parliamentary question<\/a> presented by the European Liberals (RE) on the general level of public deficits in the euro area. <\/p>\n

“The ability to finance interest expenditure is one of the factors determining budget sustainability<\/strong>,” Dombrovskis began. In this specific case, “although Italy and Spain have primary surpluses, these are lower than interest expenditure, and the surplus is financed by new debt<\/strong>.” Italy is therefore issuing new debt to repay its existing debt, and interest expenditure is expected to increase to 3.9 per cent of gross domestic product (GDP) in 2025, 4 per cent in 2026, and 4.1 per cent in 2027, according to the European Commission’s estimates<\/a><\/span>. <\/span><\/span><\/span> <\/p>\n

Italy, Commission: pensions will be a growing problem for public finances<\/a><\/p><\/blockquote>\n