Italy announces more reforms to lower the budgetary deficit

Although they are just announcements for now, as they must be approved by the Council of Ministers, which will meet next week, the Minister of Economy and Finance, Guido Tremonti announced a severe reform plan: lower public spending, pensions and public wages reform, and tax on movable and immovable patrimony.

The Minister said that he had received a letter from the European Central Bank, of confidential nature, about the Italian situation. According to the press, the ECB imposes certain conditions before buying Italian debt, among them to accelerate the measures already mentioned (privatization, labor reform, cuts, etc.) and to lower the budgetary deficit.