Rome: Italy is considering increasing its budget deficit as it struggles to deal with rising energy costs that are affecting families and businesses across the country.
Deputy Prime Minister Matteo Salvini said the government may need to borrow more money to respond to the crisis. This could mean moving beyond the European Union’s deficit limit, a step Italy had earlier promised to avoid.
The government led by Prime Minister Giorgia Meloni is under growing pressure as energy prices continue to rise due to global tensions and supply disruptions. Italy depends heavily on imported energy, making it more vulnerable to price shocks.
Officials are now looking at the possibility of using a special European Union rule that allows countries to spend more during exceptional situations. This would give Italy more room to support its economy in a difficult period.
Economy Minister Giancarlo Giorgetti has already warned that the country’s financial space is becoming limited. Economic growth is expected to remain slow, adding to concerns about rising public debt.
So far, the government has introduced limited support measures, including a small reduction in fuel taxes. However, these steps have not been enough to ease the burden on people and businesses.
There are also fears of wider disruptions. Officials have warned that if the situation worsens, it could lead to protests or strikes, especially in sectors like transport.
Italy now faces a difficult choice between keeping its finances under control and providing urgent help to its people as the energy crisis continues.