Tuesday

14th Aug 2018

Italy and Germany share 'federalist vocation'

Italy's new Prime Minister Enrico Letta went to Berlin for political talks with Chancellor Angela Merkel on Tuesday (30 April) just hours after being confirmed by the Italian Senate.

Speaking ahead of the meeting, the two tried to downplay their divergences over European economic policy.

Read and decide

Join EUobserver today

Support quality EU news

Get instant access to all articles — and 18 year's of archives. 30 days free trial.

... or join as a group

  • Rome is seeking a softer stance on austerity (Photo: Bundesregierung/Denzel)

Merkel repeated several times that "solid public finances" and growth are two sides of the same coin.

"We have to free ourselves from this misconception that growth and budget consolidation are opposed. Solid public finances are a precondition for growth. And growth is not only the state giving money, but it's creating conditions for small and medium enterprises to feel at home, to be able to invest and open up jobs. And for that we need structural reforms, good schools and universities, investments in research," said the Chancellor.

She also tried to show sympathy for the millions of unemployed people in southern European countries.

"Budget deficit figures are of course important, but we must make politics for the people, to stimulate investments, to create more jobs," she said.

For his part, Letta, who was appointed as head of a grand coalition including the centre-right led by former prime minister Silvio Berlusconi, gave assurances that Italy was not going to steer away from the EU deficit and debt rules.

But the centre-left politician warned that the message given by Italian voters may be replicated in other countries.

"If Europe stands only for negative news, for austerity, then we'll see more of these movements against Europe. We need to work on Europe as a generator of good news, of growth," he noted.

Letta said both he and his government are "profoundly pro-European."

"In the past five years of crisis we did not find sufficient solutions because there was not enough Europe. This is my objective - and also that of Germany, because both our countries have a federalist vocation. Europe always advanced when Italy and Germany worked together," he said.

In view of the upcoming Italian EU presidency in the second half of 2014, Letta says he wants to see Europe reach its four goals of a banking union, a fiscal and economic union, as well as a political union.

"If we reached these objectives, we could solve our domestic problems much easier," he said.

Asked if he will deliver on Berlusconi's campaign promise that if in government, his party will eradicate a property tax introduced last year, Letta said these are "internal matters."

"We will stick to our commitments but what taxes we impose is our domestic choice," he said.

The new Italian leader will also travel to Brussels and Paris this week. Industry minister Flavio Zanonato said Letta's aim is to "renegotiate" EU rules on debt and deficit, so that investment spending is exempted from the overall thresholds.

Former prime minister Mario Monti tried for the last two years to get this introduced, but was ultimately unsuccessful.

EU and US kiss and make up on trade

The US will not impose tariffs on EU cars and might take back ones on steel and aluminium, according to a magical Trump-Juncker deal.

EU 'tax lady' hits Google with record fine

Margrethe Vestager has fined the US tech giant with €4.34bn for abusing its market dominance in mobile operating systems - but assured US president Donald Trump that it is not because she does not like America.

News in Brief

  1. Man held after car crashes into UK parliament security barrier
  2. Brexit delays better readability of medicines' instructions
  3. Masked youths set dozens of cars alight in Sweden
  4. Spain and Italy refuse new Aquarius-rescued migrants
  5. Bayer shares plunges after glyphosate cancer trial
  6. Merkel announces surprise visit by Putin
  7. Hungary to ban university gender study courses
  8. Support for Swedish Greens up over climate concerns

Opinion

Has the time finally come for 'European champions'?

Since Emmanuel Macron took the French presidency in 2017, the concept of consolidating European industries to create continental 'champions', capable of competing on a global scale, has been revived.

EU 'tax lady' hits Google with record fine

Margrethe Vestager has fined the US tech giant with €4.34bn for abusing its market dominance in mobile operating systems - but assured US president Donald Trump that it is not because she does not like America.

Stakeholders' Highlights

  1. ACCACompany Law Package: Making the Best of Digital and Cross Border Mobility,
  2. IPHRCivil Society Worried About Shortcomings in EU-Kyrgyzstan Human Rights Dialogue
  3. UNESDAThe European Soft Drinks Industry Supports over 1.7 Million Jobs
  4. Mission of China to the EUJointly Building Belt and Road Initiative Leads to a Better Future for All
  5. IPHRCivil society asks PACE to appoint Rapporteur to probe issue of political prisoners in Azerbaijan
  6. ACCASocial Mobility – How Can We Increase Opportunities Through Training and Education?
  7. Nordic Council of MinistersEnergy Solutions for a Greener Tomorrow
  8. UNICEFWhat Kind of Europe Do Children Want? Unicef & Eurochild Launch Survey on the Europe Kids Want
  9. Nordic Council of MinistersNordic Countries Take a Stand for Climate-Smart Energy Solutions
  10. Mission of China to the EUChina: Work Together for a Better Globalisation
  11. Nordic Council of MinistersNordics Could Be First Carbon-Negative Region in World
  12. European Federation of Allergy and AirwaysLife Is Possible for Patients with Severe Asthma

Latest News

  1. Separation of powers instead of 'Spitzenkandidat' process
  2. Revealed: ExxonMobil's private dinner with Cyprus' top EU brass
  3. What Salvini teaches us about Operation Sophia
  4. 14 lobbyist meetings with Oettinger and Canete went unminuted
  5. UK poll suggests Brits would now vote Remain
  6. Some EU states face delays in 5G preparation
  7. Nordic and Baltic farmers urgently need EU support
  8. Migrant death rate spikes despite EU 'safety' priority

Join EUobserver

Support quality EU news

Join us