Leaders of Italy's ruling parties said today they would not back down on plans to boost spending, digging in against financial markets, EU pressure and criticism from parliament's budget watchdog.
The comments came before Italian Economy Minister Giovanni Tria was due to speak in parliament this morning on plans to reform the budget deficit next year of 2.4 percent of GDP, which is three times of the previous administration's expectations, triggering criticism from the European Commission and a sharp rise in yields of Italian government bonds.
Today, Tria is back in parliament for a second day after the Italian Financial Supervisory Board refused yesterday to approve the budget plan, arguing that the economic growth outlook was very optimistic.
