Brussels Expects a considerably Larger Italian budget Deficit. The European Commission is significantly reducing Italy’s economic outlook.
The budget deficit of 2019 is now estimated at 2.5 percent, considerably higher than the 2.04 percent agreed by the European Commission with the southern European country.
Italy is experiencing low economic growth. A growth level of only 0.1 percent is predicted for this year.
The national debt is assumed to rise to 133.7 percent in 2019 and to 135.2 percent in 2020 in the economy.
That is what the Commission writes in its spring forecast.
The European Commission lowers the growth forecast for the economy of the European Union to 1.4 percent.
The eurozone is supposed to grow by 1.2 percent in 2019.
Dutch growth is also lower
According to the Commission, the Dutch economy is expected to grow by 1.6 percent in 2019,
considerably less than last year when the economy grew 2.7 percent.
In February, the growth forecast for this year was already lowered from 2.4 percent to 1.7 percent.
Smaller growth and weaker economic sentiment are likely to lead to lower consumer spending, the Commission said Tuesday.
The European Commission also anticipates a growth of 1.6 percent for 2020.
The Dutch economy is suffering from weaker growth among the most important trading partners.