Government and Brussels in tug of war over “extra” spending in 2017 budget

Prime Minister Matteo Renzi’s government will approve the outlines of next year’s budget today, forecasting GDP growth for 2017 at 1-1.1% and deficit at 2-2.1%. Brussels should agree to the deficit, but is balking on €6-7 bn in “extra-Pact” spending for migrants and earthquake reconstruction. The constitutional referendum will be held on Dec 4 ...