Comments by Italian prime minister Giuseppe Conte
- It is profoundly unfair to blame the government for weak data
- Positive effects of reforms will only be seen from 2019
- Does not see dialogue with the European Commission over budget as being 'an exchange of concessions'
Conte is largely talking about the Q3 GDP report here where Italy's growth for the quarter flat lined for the first time since Q4 2014. I don't think many are putting too much blame on the coalition government for the stagnation in growth but it's mainly the fact that the growth forecasts presented to the commission are way too optimistic.
And they're not winning any favours from investors by continuing to stick to those forecasts as the deadlock with the commission continues to put a drag on Italian bonds.
