Italy is Euro Zone’s second-highest public debt ratio. The major concern is that as the new government proposed spending plans that are at odds with EU fiscal rules and if it were to carry out in full, it could worsen the Italian’s public debt ratio.
But interestingly, Italian Government’s Budget is improving as shown:
Government Budget in Italy is expected to be -1.50 percent of GDP by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Italy Government Budget is projected to trend around -0.50 percent of GDP in 2020, according to our econometric models, as shown: