Italy Intends to Sell Assets Amounting to 0.8% of GDP by 2027, According to the Treasury

ROME: Italy aims to divest assets worth nearly 1 per cent of its gross domestic product by 2027 to maintain control over its delicate public finances, according to the Treasury's multi-year budget plan. Economy Minister Giancarlo Giorgetti stated this week that the government would continue with its previously revealed plan to divest state assets valued at approximately 20 billion euros ($23 billion), although he noted that the ongoing market unrest stemming from U.S. tariff policies required a careful approach.

The Treasury's Public Finance Document, released late Thursday, revealed that fresh debt estimates included asset sales estimated at 0.1 per cent of GDP for this year, 0.2 per cent for 2026, and 0.5 per cent for 2027. Italy’s public debt, the second highest in the eurozone after Greece in proportion, is forecasted to reach 136.6 per cent of GDP this year, up from 135.3 per cent in 2024, based on the government’s recent forecasts. The debt is projected to increase to 137.6 per cent in 2026 before slightly decreasing to 137.4 per cent in 2027.

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Since assuming her role in late 2022, Prime Minister Giorgia Meloni has added over 4 billion euros to state funds by divesting shares in the rescued bank Monte dei Paschi di Siena and the energy company Eni. Amid ongoing discussions about state asset divestiture, Italy has taken measures to offload up to 14 per cent of the financial group Poste Italiane PST.MI, a deal that may be valued at nearly 3 billion euros. The report indicates anticipated property sales totaling over 800 million euros annually from 2025 to 2027.

($1 = 0.8801 euros)