Government approves Dpfp and asks for flexibility for defense and energy: deficit at 3.5% in 2027

MILAN – According to what we understand, the Council of Ministers gives the green light to the public finance planning document and the report on the deviation. According to reports, the government's request for flexibility is worth around 14 billion for 2027 and 14 billion for 2028. This is 0.3% of GDP for defense and 0.3% for energy per year. "We have approved the Dpfp which comes in a particularly complex context in many respects so making forecasts becomes increasingly complicated", said the Minister of Economy Giancarlo Giorgetti. “The deficit should remain below 3% also in 2026, but as you know it is not enough and our forecasts are, taking into account the additional spending allowed by European rules, that it will rise to 3.5% in 2027, 3.3% in 2028 and 2.4% in 2029", he added.

The minister also called for greater caution in view of the drafting of the Budget Law. "I monitor day by day: today my response is probably different from a month ago, the approach must be a little more prudent" compared to the things "announced and reported, even if I don't read you. The context, however, clearly requires greater attention", he said. The government also revised its growth estimates. "With these numbers and taking into account a GDP growth that we have updated for 2026 to 1%, compared to the original prudent estimate of 0.6%, the programmatic growth rate stands at 0.8% in 2027, 0.9% in 2028 and 0.8% in 2029", said Giorgetti.