MNI BRIEF:Italy Says Could Ratify ESM If EU Changes Debt Rules

Italy would be prepared to look at ratifying a reform of the European Stability Mechanism Treaty if the European Union agrees to exclude green and digital investment from debt calculations used in its fiscal rules, Italian Finance Minister Giancarlo Giorgetti told Eurogroup president Paschal Donohoe on Thursday during the sidelines of the G7 in Nigata, Japan.

Italy, the only European Union country to have so far failed to ratify the ESM treaty, would consider doing so in exchange for “a framework of changes”, “above all the temporary exclusion of some green and digital expenses for investments,” Italy’s finance ministry said in statement.

Donohoe and Giorgetti had an “intense and constructive conversation” on the ESM and the European Union governance, the finance ministry said. (See MNI: EU Loses Patience As Italy Blocks Bank Backstop-Officials)