Domestic Policy
Presidential Pardons: President of the Republic Sergio Mattarella signed five pardon measures just before Christmas, including one partial pardon expected to spark political debate. It concerns Alaa F. Hamad Abdelkarim, sentenced to 30 years for complicity in multiple murders as a presumed human trafficker, but at the center of judicial doubts and civil and Catholic mobilization. The measures, confirmed by Minister Nordio, reduce the remaining sentence considering age, context of the facts, and rehabilitation progress in prison. The other pardons concern cases of family desperation, health conditions, or residual sentences, with total or partial extinguishment of custodial or monetary penalties.
Weapons Decree: Following tensions over the budget, the government prepares to approve without disruption the decree extending military support to Ukraine by one year. Giorgia Meloni aims to avoid new internal conflicts, opening to limited concessions to the League without altering the fundamental stance: aid to Kyiv but no troop deployment. The Prime Minister reiterates that a credible military force is a condition for peace, highlighting the value of the Italian Armed Forces. The decree is expected at the Council of Ministers on 29 December.
Foreign Policy
Russia: A TNT-laden car bomb killed General Fanil Sarvarov, a senior officer of the Russian General Staff, in Moscow. The Investigative Committee has opened a murder investigation, also considering the possibility of a Ukrainian attack attributed to Kyiv’s special services. Diplomatically, Kremlin envoy Kirill Dmitriev returns from the United States to report to Vladimir Putin on meetings in Miami. Meanwhile, the European Union extends sanctions against Russia until 31 July 2026 and reaffirms support for Ukraine, also financed through common debt.
Greenland: U.S. President Donald Trump announced the appointment of Louisiana Governor Jeff Landry as the United States’ special envoy to Greenland. Landry spoke of the goal of facilitating the island’s entry into the U.S., prompting a strong reaction from Denmark, to which Greenland belongs as an autonomous territory. The Danish Foreign Minister called the appointment and statements “unacceptable” and summoned the American ambassador, reaffirming respect for territorial integrity. The European Commission also emphasized that the sovereignty of the Kingdom of Denmark is an essential principle for the European Union.
Economy and Finance
Chinese Tariffs: China has announced the introduction of provisional anti-subsidy tariffs ranging from 21.9% to 42.7% on certain dairy products imported from the European Union, effective immediately. The measure, initiated after an investigation launched in August 2024, is seen as a response to European tariffs on Chinese electric vehicles. Beijing claims European products benefited from subsidies, harming China’s industry. Coldiretti and Filiera Italia warn of risks to Italian cheese exports to China, a market with significant potential that has grown strongly over the past five years, reaching €71 million in 2024.
Telecom: Telecom Italia announced the conversion of savings shares into ordinary shares, viewed as favorable by analysts and shareholders, including Poste. The day closed with a 2.55% rise in ordinary shares and an 8.6% rise in savings shares, thanks to the exchange at par plus €0.12 in cash. The operation, made possible by a €1 billion compensation ordered by the Court of Cassation against the State, includes a capital reduction and restoration of reserves. Telecom aims to distribute dividends up to 1.65 cents by 2026, with the industrial plan potentially updating distribution prospects.