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Italy to ask EU for 0.6% deficit leeway in 2027

Original: Italy To Ask EU For Deficit Leeway Worth 0.6% Of GDP In 2027 - Raises 2026 GDP Growth Forecast To 0.8% From 0.6% Forecas

Italy will ask the European Union for deficit flexibility worth 0.6% of GDP in 2027, while raising its 2026 GDP growth forecast to 0.8% from the 0.6% projected in April. Rome also expects the 2026 deficit to fall below 3% of GDP, the EU's reference threshold, as it seeks room in next year's budget planning.

Why now: Italy's budget plans and its request for EU fiscal flexibility have direct implications for eurozone fiscal rules and markets.

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Evidence

• Italy To Ask EU For Deficit Leeway Worth 0.6% Of GDP In 2027 - Raises 2026 GDP Growth Forecast To 0.8% From 0.6% Forecast Made In April - Sees 2026 Deficit Below 3% Of GDP · LiveSquawk · 2

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