Brussels Threatens Italy: Impose the Required Cuts or ‘Give the Money Back’
March 14, 2017 (EIRNS)—According to the daily La Repubblica, the European Union Economic and Financial Committee (composed of the EU Commission, governments, and the European Central Bank) will demand that Italy pay back money from the "flexibility" margin allowed last year to the budget, unless the Italian government implements the additional €3.4 billion in cuts demanded to keep the deficit "under control." The Committee insists that, not only is the deficit too high (2.4% of GDP!) but the Italian government has not fulfilled some conditions for the "flexibility" concessions, and should therefore give an additional €3.4 billion back.
However, if the Italian government implements the demanded cuts by the April deadline, the Committee will turn a blind eye and display its immense clemency, by dropping the demands for restitution. It is rumored that the government will back down and increase the value added tax, or VAT.
Italy is a net payer into the EU budget. It pays €8 billion yearly more than it receives from the EU. Nevertheless, it is being humiliated into requesting permission to use its own money.