Italy's public deficit is climbing
The Draghi government had already revised upwards in April its deficit forecast for 2021. Alessandra Tarantino POOL / AFP / File
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In Italy, the country's public deficit climbed to 13.1% of gross domestic product in the first quarter.
A significant increase compared to the 10.6% recorded over the same period in 2020. The problem is that the country's economy still bears the traces of the coronavirus pandemic.
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Support measures to help Italian businesses and households emerge from the crisis continue in Italy.
And that weighs on the finances of the state.
In the first quarter, spending was higher than revenue, which automatically pushed up the public deficit.
The Draghi government had already revised upwards in April its deficit forecast for 2021. The first country affected by the pandemic in Europe, Italy suffered the worst recession since World War II last year, with a close plunge of 9% of its GDP.
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See also:
Italy receives the green light from Brussels for its economic recovery plan
Mario Draghi's mission is to put the country on the road to recovery.
The first to benefit from a mega European recovery plan, Italy will receive more than 191 billion euros from Brussels, in the form of grants and loans.
But the public debt constitutes an obstacle for the stabilization of the country's finances.
At the end of 2021, it should reach the dizzying figure of 159.8% of GDP.
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Also to listen:
Poverty is exploding in northern Italy
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Italy
Economic crisis
Coronavirus