Green light from the Council of Ministers to the new Def. GDP growth halved, 0.6% in 2025
The tax delegation is extended until 31 December 2025, aligning the deadline with that of the single texts
6' min read
Key points
- GDP growth halved, 0.6% in 2025
- "Cool mind on duties and surgeries"
- "On extension Pnrr any means as long as you get there"
- In line with 2% defence spending
- The extension of the tax delegation arrives
- Defence Italian alimony, three new offences
- Preliminary OK for Farnesina reorganisation
- Stretch Bridge, MIT: construction work closer
- First yes to reform of the Trentino-South Tyrol Statute
6' min read
Green light from the Council of Ministers to the new Def 2025, the first document of the year on the development of public accounts. "It was adopted in a very complex situation from a global economic point of view, with repercussions for the national economy, and all of this makes forecasts not only in the very long term but also in the short term very complicated and difficult, even aleatory," explained Economy Minister Giancarlo Giorgetti at a press conference.
GDP growth halved, 0.6% in 2025
"We have decided to adopt growth estimates aligned to those recently reduced by the Bank of Italy, so we have real GDP growth of 0.6% in 2025, 0.8% in 2026 and 0.8% in 2027, effectively halving the Plan's forecast which was 1.2%." The GDP-deficit was estimated at 3.3 per cent in 2025, 2.8 per cent in 2026 and 2.6 per cent in 2027, as indicated last autumn. The public debt-to-GDP ratio, on the other hand, will be 136.6 % in 2025, 137.6 % in 2026 and 137.4 % thereafter; slightly lower than last autumn's Dpb (136.9 % this year; 137.8 in 2026 and 137.5 in 2027). In the scenario contemplated even upcoming measures such as the Irpef cut for the middle class remain in doubt: all decisions 'will be calibrated to the context'.
"Cool mind on duties and surgery"
."I take note of this initiative by Trump, which I appreciate, it was what I was asking the new US administration at the G7 in Cape Town to focus on." The economy minister put it this way regarding the US president's decision to cooncede a 90-day pause on tariffs. "The macroeconomic impacts will also have to be assessed, we are trying to understand the direct and indirect ones, but we need to reason with a cool head, without putting public finance at risk, not to make interventions in a random and generic way, we need to be very surgical in order to be effective as well".
"On extension Pnrr any means as long as you get there"
.In Pnrr, according to Giorgetti, 'the issue of extension can be declined in many ways: there is Fitto's proposal on Cohesion funds, there is the proposal to set aside 10% of the Stem projects. I see that in a surreptitious and sideways way then you get to the end, any means is fine as long as you get to that end'.
In line with 2% defence spending
."The defence spending at the moment maintains its original orientation and trend, we believe on the basis of our accounting criteria, which will eventually be discussed at Nato, to be in line with the 2% request," Minister Giorgetti further specifies. "The increase in defence spending requested by the Commission and NATO will imply making choices that we do not believe we can adopt at this time and will be made within the prescribed timeframe: there is a substantial request by the Commission to ask for the national exception clause with respect to the indicators by the end of April, so it is likely that in the resolution on the Def, Parliament will have to express its opinion because if we proceed in that direction we will have to make a deviation that envisages an enhanced voting procedure in the two Chambers.


