Basta! The EU challenges Italy’s finances
Economist Podcasts
The Economist
4.3 • 5K Ratings
🗓️ 6 June 2019
⏱️ 21 minutes
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Transcript
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| 0:00.0 | Hello and welcome to the Intelligence on Economist Radio. I'm your host, Jason Palmer. Every weekday, we provide a fresh perspective on the events shaping your world. |
| 0:17.2 | With travel bans and tightening borders to its south, Canada has become renowned for welcoming refugees. |
| 0:23.6 | Now that tens of thousands have come, there's much talk about so-called asylum shopping. |
| 0:28.6 | With an election coming up, the government is reconsidering just how open to be. |
| 0:33.6 | And how many hours have you put in recently just so that you're seen to be at work? |
| 0:40.2 | Whatever the number, it's too many. |
| 0:42.5 | We discuss presenteism and why it's no good for you or your employer. |
| 0:57.0 | But first... The European Commission warned yesterday that it might launch legal action against Italy, |
| 1:06.0 | which has violated rules about its huge public debt and its plans to run too large a deficit, both this year and next. |
| 1:14.6 | EU member states will now decide whether what's called an excessive deficit procedure |
| 1:18.7 | should be launched against Italy. |
| 1:20.8 | In theory, the country could face billions of euros in fines. |
| 1:24.5 | In Italy, the right-wing populist Matteo Salvini, |
| 1:26.9 | one leader in a coalition government, |
| 1:29.3 | has responded angrily to the commission. He told a crowd of supporters that Italy does not want |
| 1:35.1 | to ask Europe for Spanish, German and French money, but rather for dignity and the right to work. |
| 1:43.0 | The reason why Italy's finances have been in the spotlight is because they have a very |
| 1:49.6 | large public debt burden, second only to Greece in Europe of about 130% of GDP. |
| 1:57.1 | Rachana Shanborg is the economist's Europe economics correspondent. She's been reporting from Italy this week. |
| 2:02.9 | And Europe's fiscal rules require that that debt burden comes down at a prescribed pace. |
| 2:09.1 | However, in 2018, it actually went up for the first time in four years. |
| 2:13.4 | And this is what the Commission isn't very happy about. |
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