European Commissioner for Economic and Financial Affairs Pierre Moscovici stated on Thursday that Italy needs to show new data and a clear path toward compliance with EU's fiscal rules in 2019 and 2020 in order to avoid disciplinary measures. The official warned that Brussels is ready to move on with procedures over Italian debt if the government in Rome refuses to commit to new steps toward fiscal discipline.
At the same time, Italy's Finance Minister Giovanni Tria said that he will seek a deal with the EU regarding fiscal rules by July 6.
Earlier this month, the EU initiated a disciplinary action known as the excessive debt procedure against Italy over the country's fiscal policies which are not in line with Brussels' recommendations. The bloc insisted that the recent policy choices damaged Italy's economy, while growth has come to an almost full stop.
