Domestic Policy
Excise Duties: The government led by Giorgia Meloni has decided to extend until 1 May the cut in excise duties on petrol, diesel and LPG, to tackle the economic difficulties caused by international tensions. A fund of €500 million has been allocated to support households and exporting businesses and reduce the risk of a recession, exacerbated by rising energy prices and falling gas stocks in Europe. Meloni emphasises the importance of monitoring developments in the international scenario and intervening to protect the national economy in a context of energy crisis and global instability.
Tourism: Gianmarco Mazzi has been appointed the new Minister for Tourism, replacing Daniela Santanchè. Previously Undersecretary for Culture, he is known for his links to the entertainment world and has worked as a television author, company executive and politician for Brothers of Italy, as well as being a co-founder of the National Singers Team. After taking the oath at the Quirinale, Mazzi stated that tourism is a pillar of the Italian economy and promised to carry out his duties with responsibility, energy and in continuity with the work of his predecessor.
Foreign Policy
Middle East: Prime Minister Giorgia Meloni made a surprise mission to Jeddah, Saudi Arabia, to meet over two days with leaders of the main Gulf countries, including the United Arab Emirates and Qatar, with the aim of strengthening political and energy ties with Middle Eastern oil and gas suppliers. This is the first visit by a European leader following the escalation of the Gulf War. The mission aims to consolidate a strategic partnership with the region and reaffirm Italy’s support in the face of Iranian attacks.
Iran: A fierce aerial battle took place over the skies of Tehran involving US aircraft: an F-15 was shot down and one of the two pilots was rescued injured in a joint US-Israel operation, while the fate of the other remains uncertain, with Iran claiming to have captured him. In the same area, an A-10 also crashed, but its pilot was saved. Meanwhile, in the Strait of Hormuz, some ships have resumed transit despite the war, while Tehran has rejected a US proposal for a 48-hour ceasefire and is said to have struck an energy facility in Kuwait.
Economy and Finance
Bank of Italy: According to Bank of Italy forecasts, Italian GDP will grow by 0.5% in 2026, a figure lower than the previously estimated 0.6%. Economic expansion is also expected to stall at 0.5% in 2027, representing a downward revision of 0.3 percentage points compared with December estimates. The Gulf War and rising fuel prices will contribute to slowing growth, which – as Via National highlights – are reducing domestic demand in the current and subsequent quarters. The situation could worsen further if ongoing conflicts do not come to an end.
Stability Pact: Despite progress in recent years, the latest quarter of 2025 figures, released yesterday morning, confirmed by Istat show that last year’s net borrowing reached 3.1%, three decimal places below the previous year’s level but one above the critical threshold set in Maastricht, preventing exit from the excessive deficit procedure. Minister Giorgetti warns that if the geopolitical situation does not improve, a revision of the European constraints under the Stability Pact will be necessary. International tensions and high energy costs are worsening the economic outlook, reducing purchasing power and increasing costs for businesses and services. The measures adopted so far are temporary and may not be sufficient.