"We must reach an agreement on the proposal for shared rules on the EU budget. Yes to tough fiscal regulations, but rigor should not be naive and blind, but should aim for growth, taking into account factors such as the Chinese economy's downturn and the impact of Ukraine's war." Sergio Mattarella spoke yesterday about European budget rules, and hence about the underlying struggle over Stability Pact reform. After a lengthy conversation with German President Frank Walter Steinmeier, he addressed the issue in its own manner. The President of the Republic cannot say more, but in the candor that has marked his discussions with "friend" Steinmeier for years, one can understand the head of state's concern for a negotiation that is approaching its end (by the end of the year, if no agreement or extension is reached, the old Stability Pact returns) in a climate of mistrust. And then some interpretations of his statements filter through, which will undoubtedly suit the Meloni government, which has fought against rigorism since its inception. But the reality is more complicated: Mattarella underlined to Steinmeier how dangerous German rigorism and some northern European countries can be at this stage. A proactive policy is required to combat the risk of entrenchment or conflict within Europe. These next three months of 2023 will be key, and isolationist views such as Italy's on ESM approval simply decrease the room for movement in the far more vital negotiation on the Stability Pact. This is why Mattarella and Steinmeier are collaborating to achieve an agreement between Italy and Germany on the European budget.
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