This New Italian Plan Will Benefit The Euro Currency - Kakiforex | Forex markets for the smart money. This New Italian Plan Will Benefit The Euro Currency This New Italian Plan Will Benefit The Euro Currency

April 13, 2021

This New Italian Plan Will Benefit The Euro Currency

 The Italian government is preparing a new stimulus package worth around € 40 billion to support a coronavirus -hit economy, Reuters reported.


Additional borrowing is likely to push this year’s budget deficit above 10% of Gross Domestic Product (GDP), up from 9.5% in 2020 when the economy shrinks by 8.9%.


The money will fund additional grants to businesses forced to close due to coronavirus restrictions as well as extend the existing debt moratorium for small and medium -sized companies affected by the government’s closure measures.



With the launch of this new stimulus package, it is seen as a good sign for the reopening of the country's economy. In fact, vaccination rates in Europe are also expected to increase sharply in the coming months.


Italian Prime Minister Mario Draghi stepped up pressure on vaccine-making companies in an effort to speed up vaccine deliveries as the country risks losing its key target in implementing vaccinations.


Draghi is also in constant touch with the chief executive officer of the pharmaceutical company to ensure delivery schedules are adhered to, with Italy expected to receive 52.5 million doses of the vaccine in the second quarter.