Press Release: Commission adopts report on Italian public finances

The European Commission on 7 June 2005 adopted a report under Article 104.3 of the EU treaty. It found that the Italian budget deficit was above 3% of Gross Domestic Product (GDP), albeit slightly, in 2003 and 2004 and was expected to stay above that level in 2005 and next unless policy changes. Thereby the excess could not be considered as temporary. The overall evidence suggested that the Treaty requirements concerning the deficit and debt criteria were not fulfilled. In preparing the report the Commission applied the spirit of the reformed Stability and Growth Pact in the context of the existing rules.

• Primary Source

European Commission: SEC(2005)755 http://ec.europa.eu/comm/economy_finance/about/activities/sgp/edp/com_rep_it_annex.pdf

European Commission: SEC(2005)750 http://ec.europa.eu/comm/economy_finance/about/activities/sgp/edp/com_rep_it.pdf

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