Italy’s budget deficit seen falling by 1.9% in 2019, 1.6% in 2020

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Italy’s budget deficit seen falling by 1.9% in 2019, 1.6% in 2020

Despite a tumultuous political outlook over Italian soil amid ongoing negotiations to form a more centrist coalition government between ruling centre-right 5-Star Movement and centre-left opposition Democratic Party under leadership of former PM Conte, an official document seen by a press agency reporter had unveiled on Monday (Sept.

2nd) that top officials of Italy’s finance administration had forecasted a budget deficit of 1.6 per cent of gross domestic product next year, while Italy’s budget deficit would likely to fall to 1.9 per cent of the nation’s GDP in 2019, lower than EU Commission’s target of 2.0 per cent.

Besides, another source directly briefed over the subject-matter, had added on Monday (Sept. 2nd) that the forecasts were for both this year and the next were much lower than a previous target, which would likely to proffer enough room to a new government to meet EU commission’s budget criteria.

On top of that, followed by the reveal of official reports, several analysts alongside industry experts were quoted saying that the budget deficit projection for 2020 would likely to jack up further under ruling of a 5-Star Movement-Democratic Party coalition, as 2020-budget included an increase in sales taxation, a move which both 5-Star movement alongside Democratic Party had pledged to abolish.