AFP: Rome says Brussels 'failed' in its Italy economy forecast8 November 2018 | 14:55 | FOCUS News Agency
"We regret to note the Commission's technical failure," the ministry said in a statement, slamming "an inadequate and partial analysis" of the populist government's proposed 2019 budget.
According to Brussels, Italy's deficit will reach 2.9 percent of its gross domestic product next year, much bigger than the 1.7 percent in its previous forecast.
Crucially, the EU believes Italy will only grow by a mere 1.2 percent in 2019 while Rome's 2019 budget is based on an estimate of annual growth of 1.5 percent.
In its Thursday forecast, the Commission said it believed that continued overspending means Italy's massive debt will remain unchanged at around 131 percent of GDP over the next two years.
Italian leaders insist a high debt and low growth rate are all the more reason to kickstart the economy through a spending spree.
The Italian government said that while the Commission's forecast was in "sharp contrast" to its own, Rome still wanted "constructive dialogue".
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