Italy’s 2019 budget guide

Luca Zennaro

Rescuers at work amid the rubble after a highway bridge collapsed in Genoa, Italy, 14 August 2018. A large section of the Morandi viaduct upon which the A10 motorway runs collapsed in Genoa on Tuesday. 

There’s certainly been no sign recently that Lega and M5S are ready to cut spending, or row back on their promises to the electorate.

Despite the Fitch downgrade and their economy minister’s attempt at reassuring the markets, Salvini and Di Maio appeared bullish with the former tweeting Saturday that tax cuts would be implemented “step by step.”

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His colleague Di Maio stated Sunday that Italian citizens came before ratings agencies, pledging to see through his party’s campaign promise to introduce a universal income for the poor. On Tuesday, Salvini also questioned the EU’s fairness when it comes to the leeway over budget deficits and the independence of ratings agencies.

“But how, if France and Spain have been extending the 3% ceiling for years, nobody says anything, while if Italy tries to touch it to secure the country and boost the consumption of Italians is a problem?

But were not these rating agencies independent?” he said on Twitter.

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Also on Tuesday, after his Lega party held a summit on the economy, Salvini was quoted listing the party’s plans.

“We discussed the numbers, accounts and timeframes to achieve within the arc of the legislature our proposals for families and businesses: dismantling the Fornero law, (introducing a) flat tax, fiscal peace and closure of the disputes with (state tax collection agency) Equitalia, less bureaucracy for firms and VAT holders, elimination of the oldest levies on petrol … (and) a major national plan for ordinary and extraordinary maintenance (of infrastructure),” ANSA reported.