Italy risks medium-term budget stress-EC

Report sees no significant danger in short term

(ANSA) - Brussels, February 12 - Italy risks encountering stress in managing its public finances in the medium term, according to a European Commission report on 2018 sustainability discussed at Tuesday's ECOFIN meeting. "The risks for budget sustainability appear high in the medium term," the report said, citing "vulnerability linked to high debt".
    For the short term period of up to 12 months, the report said "there is no significant risk of budget stress".
    It added, however, that "some variables indicate vulnerability" because Italy is "especially exposed to sudden changes in market perceptions" in relation to bigger government financial needs.