Gramegna: “Let’s discuss the Mes in a changing world”. And it opens to Italy

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“We will discuss the role of the ESM in a changing world,” explained the director of the European Stability Mechanism Pierre Gramegna before starting the work of the governors’ meeting. The indication is seen as not accidental by Italy, because the evolution of the scenario in which the Fund operates is exactly the motivation that the Government has used to promote a review of the functioning of the Mes, at the center of Rome’s now inveterate resistance to parliamentary ratification of the reform approved more than two years ago.

The meeting on Thursday 15 June was obviously an opportunity to return to the point. Economy Minister Giancarlo Giorgetti gave an updated description of the situation, in which the start date of the general discussion in the Chamber on ratification stands out, June 30, but also the difficulties of the majority in reaching a go-ahead.

The Commissioner for Economic Affairs Paolo Gentiloni summed up the meeting as follows: «A discussion has begun on how the objectives of the Mes can be developed (…) The Italian government, through Minister Giancarlo Giorgetti, reiterated the difficulties that exist in Italian Parliament for the ratification of the treaty”.

According to information gathered on the sidelines of the meeting here in Luxembourg, the Italian finance minister explained to his counterparts that there is currently no majority in Parliament in favor of ratification. He underlined that a negative vote could be harmful both for Italy and for the European Union. He then recalled that the parliamentary motion approved in 2022 conditions the ratification of an “evolution of the European regulatory framework”.

But in addition to the cold news offered by the account holder, in recent weeks the Italian government had hinted that a change in Parliament’s attitude could come within the framework of the reform of the Stability Pact. Again according to the information gathered on the sidelines of yesterday’s meeting, Austria loudly renewed its appeal to Italy to respect its word. The Netherlands and Germany have ruled out the possibility of making any link between the ratification of the new ESM treaty and the revision of the budgetary rules, currently under discussion.