The IMF have forecast that Italy’s 2013 budget deficit will come in at 3.2% of GDP which is above the governments target and EU’s 3% handle. Back on the 18th they raised their deficit target to 3-3.1% well up from the promises back in June that they would come in at 2.9%
On another note, PM Letta is having a meeting this afternoon with the president Napolitano and the PDL leader Epifani. No doubt next weeks senate vote will be up for discussion but we may get some news of a compromise on threats from the PDL to walk if the vote goes against Berlusconi.
We also have the sword of damocles hanging over Italy by way of a possible ratings cut tonight.
