Story perspectives

Meloni Keeps Defense Spend, Targets Nuclear Restart, Warns EU Desert

5/27/2026

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Summary

Meloni Defends Defense

Prime Minister Giorgia Meloni told Confindustria on 26 May 2026 that Italy will keep defense spending unchanged despite its unpopularity, citing national security.
Prime Minister Giorgia Meloni announced a nuclear restart plan, targeting a framework law by summer followed by implementing decrees.
Confindustria President Emanuele Orsini warned that without EU energy, trade and industrial-protection measures Europe could become an “industrial desert” as China now supplies 35 % of global manufacturing, threatening European markets.

Summary

EU Forecasts Italy

The EU’s Spring 2026 forecast predicts Italy will have the lowest growth and highest debt-to-GDP ratio in the bloc by 2027.
It estimates 0.5% growth in 2026, 0.6% in 2027, a debt-to-GDP of 139.2% and a 2.9% deficit.
Economy Commissioner Valdis Dombrovskis urged spending cuts, faster renewable investment and pension reform to preserve fiscal sustainability.
Opposition parties plan to weaponise the data, saying Italy’s economy has deteriorated under Meloni’s coalition as EU funds wind down.

History

Historical Context

In November 2011 Italy’s sovereign-debt crisis forced Berlusconi’s resignation and a €30 billion EU-IMF bailout, with 10-year bond yields hitting 6.74% and debt projected near 120% of GDP. The technocratic Monti government imposed austerity, cutting the primary deficit to 3%. Today Meloni’s defense-spending freeze and nuclear-restart plan confront similar fiscal limits under EU Commissioner Valdis Dombrovskis.

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Meloni Defends Defense

Prime Minister Giorgia Meloni told Confindustria on 26 May 2026 that Italy will keep defense spending unchanged despite its unpopularity, citing national security.
Prime Minister Giorgia Meloni announced a nuclear restart plan, targeting a framework law by summer followed by implementing decrees.
Confindustria President Emanuele Orsini warned that without EU energy, trade and industrial-protection measures Europe could become an “industrial desert” as China now supplies 35 % of global manufacturing, threatening European markets.

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