(Clarifies that Meloni said that Italy could enter a recession next year, not definitely)
ROMEOct 25 – Italy’s new government is facing some of the toughest challenges since World War II and its economy could enter a recession in 2023, Italian Prime Minister Giorgia Meloni said Tuesday in her first speech before the Parliament of the country.
Meloni said his government would have to spend heavily to stem the impact of the energy price crisis, meaning it would have to delay some measures expected from the 2023 budget, which is due next month.
He added that his right-wing nationalist coalition would guarantee public ownership of major infrastructure such as highways and airports. He also promised to introduce gradual tax cuts and cut red tape.
Meloni cited an International Monetary Fund forecast that the economy will contract 0.2% in 2023. He added that the Italian Treasury was more optimistic, expecting 0.6% growth in its most recent forecast.
