Giorgetti: 'We will extend 50% deduction on first home selectively'

"The easing of inflationary pressures, which are particularly affected by falling prices in the energy sector, has led to a revision of the restrictive monetary policies previously adopted by the main central banks, albeit in different ways. Looking at the European context, since June last year, the ECB has cut its key interest rates by two percentage points, bringing the rate on the deposit facility to 2 per cent, a level that is roughly neutral but in our view still revisable given the low-growth, if not stagnating, context of the euro area," said Economy Minister Giancarlo Giorgetti in his hearing on the Dpfp. Here are all the passages from the hearing:

"The third quarter of 2025 showed encouraging signs: industrial production recovering, services turnover slowly recovering, confidence stabilised, and employment continues to grow, albeit at a slower pace. For the second half of the year, the most up-to-date forecasts indicate a slight acceleration in cyclical GDP growth. However, taking into account the development of international exogenous variables, the annual growth estimate has been conservatively revised downwards by 0.1 percentage points from the April estimate, now standing at 0.5% (0.6% in the average quarterly data). On the other hand, experience has shown us that initial estimates are often subject to revision and have been systematically revised upwards in recent years."

“La spesa per interessi salirà gradualmente, raggiungendo il 4,3% del Pil nel 2028, ma la revisione è meno onerosa rispetto ad aprile grazie al miglioramento del rischio Paese, che riflette il riconoscimento da parte degli operatori di mercato e delle agenzie di rating della prudente politica di bilancio portata avanti negli ultimi anni e della stabilità di governo”, ha sottolineato Giorgetti, aggiungendo che “il differenziale di rendimento con i titoli tedeschi è sceso da circa 210 punti base a fine 2022 agli attuali 80. Per rendere meglio l’idea dell’impatto di questa evoluzione sul bilancio dello Stato, si può analizzare la sensitività del debito ai tassi di interesse, calcolando quanto una riduzione di 100 punti base si traduca in minore spesa per interessi negli anni”, ossia una riduzione pari allo 0,13% del Pil nel primo anno, 0,30% nel secondo e 0,44% nel terzo anno. Un miglioramento che “non libera spazi di bilancio utilizzabili in Manovra, ma, migliorando l’andamento del deficit

The information contained in the Dpfp 'shows the willingness to respect the net expenditure target path authorised by the EU Council and to rapidly exit from the Excessive Deficit Procedure to which we are currently subject. The sustainability of public finance governs the conduct of this Executive, in the conviction that it is even more necessary in the presence of great uncertainty about future macroeconomic prospects. In such a situation, only a shrewd use of available resources can make it possible to cope with any negative shocks and at the same time continue to implement the priority objectives of the Government programme'.

It will take into account the projected misalignment in 2026 for the net expenditure indicator, but, in light of the need to finance some one-off interventions, the net Manoeuvre is substantially neutral on the deficit in 2026 and moderately expansionary in the following two years (for about 3 tenths of GDP). The slight worsening of the deficit in 2026 can only be used, consistently with the European governance framework, for one-off expenditures. Therefore, a specific Fund will be envisaged to cope with the financial effects of the rulings of national and European courts in which the State may be unsuccessful. The margins with respect to the 2027-2028 targets will be used to finance interventions aimed at addressing current economic policy priorities'.