Italian’s budget for 2020 will focus on growth

Premier Giuseppe Conte told a meeting of trade unions and business representatives on Monday that his government will enter ‘phase two’ focused on boosting Italy’s sluggish growth in the 2020 budget law. “We intend to implement phase two with the next budget law to realize a pact for growth and social development based on four pillars,” Conte said, according to sources.

“These are the protection of social security, active policies for jobs and training, a tax and regulatory framework that is favourable to competitiveness and, finally, support of public and private investment”. Conte told the meeting that it was necessary to take action to help families and encourage people to have children.

“Families purchasing power has suffered a major contraction,” he said. He added that he wanted to cut the tax wedge to “free up resources for workers” with unions asking for measures to increase disposable income.

Meanwhile, the Italian government will not collapse over a dispute within the ruling coalition about a planned high speed rail link with France, Transport Minister Danilo Toninelli said on Monday. Toninelli hails from the ruling 5-Star Movement, which is fiercely opposed to the project while its coalition partner, the League, backs it. 5-Star has submitted a motion to have the so-called TAV rail link stopped which will be voted on by parliament on Wednesday.

“Parliament, as a sovereign body, will decide and the government will not fall”, Toninelli told reporters on the sidelines of a conference in Milan.

Via ANSA/Reuters