More funds approved for vaccine roll-out, tax breaks on hirings Rome extends state guarantees on bank loans, debt relief PM Draghi says expects to raise 2021 GDP forecast (Recasts with quotes and details after news conference)
ROME, May 20 (Reuters) - Italy on Thursday approved 40 billion euros ($48.8 billion) of new economic stimulus and Prime Minister Mario Draghi said that with the coronavirus crisis easing he hoped no more would be needed.
The extra spending, which funds tax relief and grants to businesses, was already factored in to the government’s public finance targets in April and will drive the budget deficit to 11.8% of national output this year, from 9.5% in 2020.
Italy has dropped a mooted measure that lifted the cap on tax incentives for bank mergers from a decree the cabinet is set to approve on Thursday, according to a draft seen by Reuters.
By Reuters Staff
2 Min Read
FILE PHOTO: Gergely Gulyas, Hungarian Prime Minister Viktor Orban’s chief of staff speaks during an interview in his office in Budapest, Hungary on September 16, 2019. REUTERS/Gergely Szakacs
BUDAPEST (Reuters) - Hungary has decided to extend a COVID-19 loan repayment moratorium until the end of August, a top government official said on Thursday, shunning calls from local banks to narrow down the scope of those eligible.
Hungary’s economy has gone into free fall since the start of the coronavirus pandemic, contracting by more than 13% in the second quarter of 2020 and more than 5% in the year as a whole.
By Reuters Staff
(Adds quotes from interview with Moody’s analyst, background)
JOHANNESBURG, May 18 (Reuters) - South Africa’s low economic growth and rising debt burden could see socioeconomic tension intensify and impede policy reforms, ratings firm Moody’s said in a research note on Tuesday.
The note, an extract from the credit firm’s annual report published on Monday, said South Africa’s credit profile was balanced, with its low level of foreign currency debt and strong core of institutions counting in its favour.
“Credit challenges include structurally very weak growth and a high government debt burden that will continue to rise without comprehensive economic and fiscal reforms,” Moody’s said.
Rome may re-propose the scheme for approval at a later date Treasury wants draft solution for troubled Monte Paschi by July (Adds details, comment from sources, background)
ROME, May 20 (Reuters) - Italy has dropped a mooted measure lifting a cap on tax incentives for bank mergers from a decree the cabinet is set to approve on Thursday, according to a draft seen by Reuters.
The measure, which had been proposed by the Treasury, had boosted the merger appeal of Banco BPM, Italy’s third-largest bank, fuelling investor bets about a potential takeover by rival UniCredit.
Instead, the decree is set to give lenders only slightly more time to approve potential deals.