EU cannot ask Italy for more budget measures now: Eurogroup chief – Reuters

Italy needs to take “significant” additional measures to reduce its debt but it is impossible for now to demand more from the country given its current political instability, Eurogroup President Jeroen Dijsselbloem said on Monday.

The Eurogroup said in a statement on the budgets of euro zone countries that Italy was at risk of breaching EU budget rules, that the high level of its debt was a matter of concern and that it should step up its privatization efforts.

However, Dijsselbloem conceded at a news conference that it was “impossible” for the Italian government to commit to additional measures given the current situation.

Italian Prime Minister Matteo Renzi said he would resign after his government lost a constitutional referendum on Sunday.