Overview
- The European Commission judged Italy’s 2026 Draft Budgetary Plan to be compliant with Council recommendations under the revamped EU fiscal framework.
- Italy’s net expenditure growth remains within EU ceilings: +1.2% in 2025 versus a 1.3% cap and +1.5% in 2026 versus 1.6%, with a 0.5% cumulative rise against a 0.9% limit.
- The Excessive Deficit Procedure is kept in suspense pending certified 2025 deficit data, with a decision expected in late spring, reportedly around 3 June.
- Italy is among 12 member states receiving a conformity judgment on their plans, while nine countries including Italy remain under the EDP during this pause.
- The Commission urges completion of the PNRR and measures to lift productivity and investment, as Economy Minister Giancarlo Giorgetti says the approval shows Italy is on the right track.