Monday, February 25, 2008

Veltroni Outlines Radical Italy PM Campaign Platform

The ANNOTICO Report

 

Veltroni - former Rome mayor - trails center-right leader Silvio Berlusconi ahead of the election April 13-14, but recent opinion polls show the gap is narrowing, with one poll Monday putting it at six points.

 

Veltroni took note of the European Commission's Italian economic growth forecast for 2008, predicting exports will suffer as a result of the strong euro and the global slowdown, while consumer spending will slow due to higher prices. The commission expects Italy's economy to expand by just 0.7% this year, down from a forecast of 1.4% made in November and much lower than the 1.8% growth rate for the average of the 15 countries sharing the euro.

Veltroni proposed reducing the number of deputies in the lower house of parliament to 470 from the current 630, and that of senators to 100 from 315. Both the lower house and the Senate now have legislative functions, with approval from both houses required to pass laws. Veltroni would make the lower house deal with national legislation and the Senate mainly handle regional issues.

Veltroni also said he plans to halve the number of ministers to 12, and pledges to cut costs come as Italians have become fed up with the privileges and perks of the Italian political class. Other plans include tax cuts, new public infrastructure, including high-speed trains, and measures to increase security, and boost national competitiveness.

His rival Berlusconi is due to present the center-right program in about two weeks, which is expected to also include significant tax cuts to boost economic growth.

 

Veltroni's tax cuts will probably be for the middle class, while Berlusconi tax cuts will be for corporations, using the "trickle down theory".

when any economist will say that putting more money in the consumers hands, results in more spending, creating more jobs!!!!!!!  

 


Italy's Veltroni Pledges Tax, Spending Cuts Ahead Of Polls

Mon, February 25 2008

Italy's Veltroni Pledges Tax, Spending Cuts Ahead Of Polls

ROME -(Dow Jones)- Italian center-left leader Walter Veltroni Monday pledged to kick-start the country's ailing economy by cutting taxes, red tape and public spending as he presented his electoral program ahead of the April general election.

With the euro zone's third-largest economy at risk of recession due to the global economic slowdown and strong euro, Veltroni called for a "new growth pact".

Veltroni - former Rome mayor - trails center-right leader Silvio Berlusconi ahead of the election April 13-14, but recent opinion polls show the gap is narrowing, with one poll Monday putting it at six points.

"In 1993, Italy was saved from economic crisis thanks to an economic-financial stability pact. Today, we need a new growth pact," Veltroni said in the program of his Democratic Party, formed last year from the merger of the two largest parties in the center-l eft coalition.

Italy's currency slumped and the country was forced to slash interest rates during the European currency crisis in 1993. Carlo Azeglio Ciampi was called from the Bank of Italy to head an emergency government that started to fix the country's public finances so that Italy could join the euro.

Veltroni plans to cut spending by half a percentage point of gross domestic product from the first year - and by a full point in the following two years - by measures that include tying public wage hikes to productivity and reducing the number of local authorities.

He wants to bring down Italy's huge debt - at 106% of GDP, Europe's highest in relation to the size of its economy - to below 90% by selling state assets, although the program didn't provide a timeframe.

Italian income tax rates would be cut by one percentage point a year from 2009, while tax breaks would be offered for female workers, starting in the economically depressed south, to coax more women into the workforce.

"Our program is realistic and ambitious," Veltroni told a news conference.

His rival Berlusconi is due to present the center-right program in about two weeks, which is expected to also include significant tax cuts to boost economic growth.

The European Commission Thursday halved its Italian economic growth forecast for 2008, predicting exports will suffer as a result of the strong euro and the global slowdown, while consumer spending will slow due to higher prices.

The commission expects Italy's economy to expand by just 0.7% this year, down from a forecast of 1.4% made in November and much lower than the 1.8% growth rate for the average of the 15 countries sharing the euro.

Some economists are even more pessimistic, warning that the Italian economy could fall into recession at the start of 2008 if the euro remains strong and oil prices stay around record highs.

-By Luca Di Leo, Dow Jones Newswires; +39 06 6782543; luca.dileo@dowjones ;     http://www.djnewswires.com/eu

 

Italy's Center-Left Leader Veltroni Outlines Campaign Platform for April vote

PR-Inside.com (Pressemitteilung) - Wien,Austria
AP ROME (AP)
February 25, 2008 

ROME (AP) - Italy's center-left candidate for premier outlined his campaign platform Monday, saying he wants to reduce the number of lawmakers and Cabinet ministers to cut costs and speed up decision-making.

Walter Veltroni said that if elected premier at April elections, he would propose reducing the number of deputies in the lower house of parliament to 470 from the current 630, and that of senators to 100 from 315.

Both the lower house and the Senate now have legislative functions, with approval from both houses required to pass laws. Veltroni would make the lower house deal with national legislation and the Senate mainly handle regional issues.

Veltroni also said he plans to reduce the number of ministers to 12, adding that the move should help speed up the decision-making process. Currently, there are about twice as many ministers in the outgoing government of Premier Romano Prodi.
+Our idea is that of a faster country, free from vetoes and other constraints,; Veltroni told reporters.

Veltroni's pledges to cut costs come as Italians have become fed up with the privileges and perks of the Italian political class.
Other plans announced in Veltroni's program include tax cuts, new public infrastructure including high-speed trains and measures to increase security and boost national competitiveness.

Veltroni, 52, is up against conservative leader Silvio Berlusconi, who entered the race as a front-runner, according to opinion polls.
The April 13-14 elections were called three years ahead of schedule because Prodi's center-left government fell last month after only 20 months in office. Veltroni resigned as Rome's mayor earlier this month to concentrate on campaigning.
As part of his campaign, Veltroni is touring Italy aboard an eco-friendly bus.

http://www.pr-inside.com/print455125.htm

 

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