Italy Okays Budget Partly Funded By A Levy On Banks And Insurers

Italy’s far-right government has approved a budget for next year of about 30 billion euros ($33 billion), which officials say will be partly funded by a levy on Italian banks and insurers, Giada Zampano reported for the Associated Press (AP).

The 2025 budget law was agreed upon just in time to meet a deadline to submit the plan to the European Union.

Prime Minister Giorgia Meloni said late Tuesday that the government expected to raise some 3.5 billion euros from banks and insurance companies to ensure better public services, especially for the country's struggling health service, and to help the most vulnerable citizens.

“As we promised, there will be no new taxes for citizens,” Meloni wrote in a post on X.

The 2025 budget law was agreed upon by ministers at a cabinet meeting, just in time to meet a deadline to submit the plan to the European Union.

The measures still need to be approved by the Italian parliament, with a final vote expected by the end of the year.

Economy and Finance Minister Giancarlo Giorgetti had been under intense pressure for weeks to reconcile the need to speed up Italy’s deficit reduction—closely watched by the EU—with the government’s expensive electoral promises.