By the end of 1999, Italy may have a national debt/GNP ratio of 2.4%, as against the previously decided 2%. In 1998 it was 2.8%. One of the reasons for the change is the effects of a war on country which was already economically weak.

The euro has gone down by 12% since the beginning of the year against the dollar. This shows how weak the European economy is in terms of the American economy, which continues to go from strength to strength. The drop in the value of the euro in the last couple of days has also been attributed to the loosening of Italy's fiscal reins.

Italian commentators prefer to underline the difficulties all her European partners are facing (especially France and Germany) in lowering tax burdens and reducing pensions to lighten the fiscal load and helping the economy. Giuliano Amato, Italy's new Treasury Minister, has confirmed that the target of a 1% GNP deficit for the year 2000 remains unchanged.