Italian Prime Minister Giuseppe Conte said a new “growth decree” would give a “strong boost to the country’s economic recovery” (EVA PLEVIER)

Milan (AFP) – Italy’s populist government unveiled its battle plan Wednesday in the fight to boost sluggish growth in the eurozone’s third biggest economy.

From corporate tax deductions to financial schemes aimed at stopping the country’s brain drain, the coalition is scrabbling to reverse poor forecasts after Italy slid into a technical recession in the second half of 2018.

The so-called “growth decree” adopted by the far-right League and anti-establishment Five Star Movement allocates 1.9 billion euros ($2.1 billion) over three years to the measures, which focus mainly on companies.

It prolongs tax breaks on investments in machinery and real estate, while reducing corporate taxes. It also earmarks some 500 million euro for municipalities, to be used on energy saving projects or to shore up public buildings in seismic areas. 

“We are giving a strong boost to the country’s economic recovery, with concrete measures to support businesses and investments”, Prime Minister Giuseppe Conte said on Facebook.

Young Italians get a hand with purchasing their first home, graduates who have headed abroad are offered financial incentives to return, and the government also plans to compensate savers hit by the failure of small regional banks.

Disclaimer: Validity of the above story is for 7 Days from original date of publishing. Source: AFP.