ZCZC
BCN-15
ITALY-ECONOMY-GROWTH
Italy adopts ‘growth decree’ to fight recession
MILAN, April 25, 2019 (BSS/AFP) – Italy’s populist government unveiled its
battle plan Wednesday in the fight to boost sluggish growth in the eurozone’s
third biggest economy.
From corporate tax deductions to financial schemes aimed at stopping the
country’s brain drain, the coalition is scrabbling to reverse poor forecasts
after Italy slid into a technical recession in the second half of 2018.
The so-called “growth decree” adopted by the far-right League and anti-
establishment Five Star Movement allocates 1.9 billion euros ($2.1 billion)
over three years to the measures, which focus mainly on companies.
It prolongs tax breaks on investments in machinery and real estate, while
reducing corporate taxes. It also earmarks some 500 million euro for
municipalities, to be used on energy saving projects or to shore up public
buildings in seismic areas.
“We are giving a strong boost to the country’s economic recovery, with
concrete measures to support businesses and investments”, Prime Minister
Giuseppe Conte said on Facebook.
Young Italians get a hand with purchasing their first home, graduates who
have headed abroad are offered financial incentives to return, and the
government also plans to compensate savers hit by the failure of small
regional banks.
BSS/AFP/HR/0955