Italy Budget Draft Puts Deficit at EU’s 3% Limit Already in 2025

Italy’s budget deficit will match the European Union’s 3%-of-output ceiling already this year, according to people familiar with the latest draft of the country’s finance plan.

The number is contained in the document being prepared for approval by Prime Minister Giorgia Meloni’s cabinet on Thursday, said the people, who declined to be identified because talks on the matter are ongoing. The draft includes a projected growth forecast of 0.6% for this year and 0.7% in 2026, they said.

The Finance Ministry declined to comment since the budget has not been finalized.

Narrowing the shortfall to the ceiling required ...