BRUSSELS, Oct. 8 (Xinhua) -- The European Commission backed Italy's request for greater flexibility under European Union (EU) fiscal rules to increase spending on defense and energy security, a Commission spokesperson said Thursday.
Italy submitted its request on Sept. 11, becoming the 19th EU member to seek activation of the national escape clause, which allows countries to temporarily deviate from EU fiscal spending requirements under certain conditions.
"Our assessment has concluded that indeed the activation of the clause does not endanger fiscal sustainability over the medium term in the case of Italy," the spokesperson told reporters. "In other words, our assessment is positive."
The request will now be submitted to the Council of the EU, which has one month to give its final approval. The clause can only be formally activated for Italy following the Council's decision, the spokesperson said.
The national escape clause is part of the EU's Stability and Growth Pact, which sets fiscal rules for members. It allows countries facing exceptional circumstances to temporarily exceed their agreed government spending limits, provided that doing so does not undermine medium-term fiscal sustainability.
The mechanism was activated for a number of EU countries in 2025 to accommodate higher defense spending, allowing additional expenditure of up to 1.5 percent of gross domestic product (GDP) annually over the 2025-2028 period.
Earlier this year, the EU expanded the scope of the mechanism to include certain energy security measures aimed at reducing Europe's dependence on imported fossil fuels.
Under guidelines issued by the Commission in August, eligible energy security spending can benefit from fiscal flexibility of up to 0.3 percent of GDP annually and 0.6 percent cumulatively over 2026-2028, within the existing overall ceiling of 1.5 percent of GDP. ■