Lower interest payments allow us to begin to reduce the public debt without slowing the economy – essential for a country like Italy, which has such a large accumulated public debt. Cyclical stimulus enables the short-term costs of structural reforms to be lowered, creating the conditions to accelerate their implementation and making it easier to revive and complete them.
Reducing Italy’s debt burden remains a strategic objective. Undoubtedly one of the reasons that this did not start to happen this year was the poor performance of GDP and the difficulties in concluding, in adverse market conditions, the privatizations originally envisaged. Certainly, market conditions are important in deciding which privatizations to carry out and when.