Italy accuses EU Commission of fueling domestic political row

 The Italian government has accused the European Commission of interfering in a domestic political issue that lacks any basis in reality. This accusation marks a significant escalation in the ongoing dispute over how Rome is managing EU funding. At the center of the conflict is Italy’s decision to remove the country’s court of auditors from overseeing its Covid recovery plan, which has been plagued by delays, false starts, and disagreements with Brussels. The European Commission had expressed its close monitoring of the situation. In response, Prime Minister Giorgia Meloni’s office issued a statement condemning the Commission for fueling a baseless and politically motivated controversy. A leaked document revealed that Italy is at risk of missing several crucial targets necessary to access EU funds. This revelation comes as the cost of raw materials continues to rise, administrative delays persist, and Italy’s recovery plan faces challenges amid Russia’s conflict in Ukraine. The €750 billion recovery fund, a groundbreaking initiative for the EU, was intended to revive economies after the Covid pandemic by allowing national governments to pool debt. However, inflation rates, reaching a peak of 10.6% in the eurozone, and other global conditions have created additional obstacles. Italy, as the largest recipient of EU recovery funds, is expected to receive €191.5 billion but is facing difficulties in meeting the 527 targets set by the Commission. The government report cites changing global conditions, inflation, disrupted supply chains, and skyrocketing raw material costs as reasons for missed deadlines and abandoned projects. Italy’s economic output suffered a significant drop during the pandemic, further complicating the country’s recovery efforts. The European Commission has already expressed skepticism about the use of funds for certain projects, such as sports stadiums. Italy has fallen behind schedule, with a requested payment of €‎19 billion still under scrutiny by Brussels. The government’s draft report highlights specific projects that will be missed, including hydrogen filling stations and construction contracts for nursery schools. 

Challenges such as archeological remains and management issues have also hampered progress on projects like the renovation of Rome’s Cinecitta film studios. The draft report points to management problems, administration issues, inflation, and rising material costs as the main causes of delays. A Commission spokesperson emphasized the importance of effective governance and strong administrative capacity for the successful implementation of the recovery plan. Following the energy crisis caused by the war in Ukraine, Italy’s government requested modifications to the plan, seeking to incorporate Repower EU measures aimed at reducing dependence on Russian fossil fuels. The government blamed delays on the previous administration, a fragmented plan with numerous small projects, insufficient data collection capacity at the local level, tight timelines, and labor market issues. Italy argues that its plan, with 527 milestones and targets, deserves flexibility compared to other countries like France and Germany, who have fewer goals. European Minister Rafaelle Fitto defended the government’s actions, expressing confidence in modifying the plan to meet objectives. However, Bank of Italy Governor Ignazio Visco warned against falling behind, emphasizing the urgency of the situation.

Russia Firm on Withdrawal from Nuclear Arms Control Treaty, Demands Policy Shift from US

In a recent statement, Russian Deputy Foreign Minister Sergei Ryabkov declared that Russia’s decision to withdraw from the last remaining nuclear arms control treaty with the United States, known as the New START Treaty, is “unshakable.” However, Ryabkov also hinted that Moscow could be open to returning to the treaty if Washington alters its policy towards Russia. Ryabkov’s comments were reported by Russian state news agency Ria Novosti.

According to Ryabkov, the condition for Russia’s full reengagement with the treaty is the abandonment of what Moscow sees as a fundamentally hostile policy towards Russia by the United States. This announcement follows Russian President Vladimir Putin’s decision in February to suspend Russia’s participation in the New START Treaty, coinciding with the one-year anniversary of Russia’s invasion of Ukraine. The treaty, in effect since 2011, imposes limits on the number of intercontinental ballistic missiles (ICBMs) and nuclear warheads that the U.S. and Russia can deploy.

On Friday, U.S. National Security Adviser Jake Sullivan expressed Washington’s willingness to engage in discussions for a new nuclear arms control framework “without conditions.” This statement came a day after the U.S. Department of State announced it would take “countermeasures” in response to Russia’s perceived ongoing violations of the treaty.

In response to Sullivan’s statement and the U.S.’s call for dialogue, Ryabkov emphasized on Saturday that Russia’s position remained unchanged, dismissing the countermeasures and reiterating their demand for a shift in U.S. policy towards Russia.

The future of nuclear arms control between Russia and the United States remains uncertain as both countries continue to exchange accusations and demands, highlighting the fragile state of bilateral relations. The withdrawal from the New START Treaty raises concerns about the potential escalation of arms race and the absence of crucial safeguards for global security. The international community watches closely as Russia and the United States navigate this delicate diplomatic challenge.

Le Maire hails ‘positive signal’ after S&P preserves France’s credit rating

France’s Economy Minister, Bruno Le Maire, has expressed determination to pursue the country’s “credible” public debt strategy following Standard & Poor’s (S&P) decision to maintain France’s credit rating. In an interview with French weekly Le Journal du Dimanche, Le Maire hailed the decision as a positive signal, emphasizing the clarity, ambition, and credibility of France’s public finance strategy. The government aims to accelerate debt reduction to 108 percent of GDP by 2027 and bring the public deficit below 3 percent by the same year. S&P maintained France’s credit rating at AA but maintained a “negative” outlook due to the country’s already high general government debt. Despite recent reforms such as controversial changes to the pension system, S&P expects France’s general government debt to remain above 110 percent of GDP in 2026, with gradual narrowing of budget deficits. In April, Fitch Ratings downgraded France’s rating from AA to AA-, citing social and political pressures exemplified by protests against pension reform. Facing speculation of a potential downgrade from S&P, French government ministers, including Le Maire and Prime Minister Elisabeth Borne, actively campaigned to reaffirm the administration’s commitment to structural reforms. France’s public debt is estimated to be 111.4 percent of GDP in 2023, according to the IMF, while the government’s budget deficit reached 4.7 percent of GDP in 2022, as reported by S&P.

Ukrainian President Urges NATO Signal on Membership Ahead of Summit

Ukrainian President Volodymyr Zelenskyy has reaffirmed Kyiv’s determination to join the North Atlantic Treaty Organization (NATO) ahead of the upcoming NATO summit in Vilnius. In an interview with the Wall Street Journal, Zelenskyy emphasized the importance of receiving a signal at the summit, warning that Ukraine’s presence would be futile if not acknowledged. He acknowledged the current reality that Ukraine would not immediately become a NATO member amid the ongoing conflict but questioned the value of a sentence at the Vilnius summit compared to Ukrainian lives. Zelenskyy admitted uncertainty regarding receiving such a signal but has been actively lobbying NATO member states to secure a firm promise of future membership.

While French President Emmanuel Macron has advocated for providing Ukraine with a “path towards membership,” UK Prime Minister Rishi Sunak stopped short of endorsing an accession roadmap but acknowledged Ukraine’s rightful place in the alliance. Sunak emphasized NATO’s focus on ensuring Ukraine receives the necessary military support for an anticipated counteroffensive to repel Russia’s full-scale invasion and shift the war’s dynamics.

Zelenskyy expressed confidence in Ukraine’s readiness for a counterattack and their belief in eventual success. However, he acknowledged uncertainty about the offensive’s duration and urged Ukraine’s Western allies to present a united front. Comparing Russian President Vladimir Putin to a cornered animal, Zelenskyy emphasized the importance of the world’s strength to instill fear in Putin, who is afraid of losing his power.

As Ukraine prepares for the NATO summit in July, the country’s aspirations for membership and the potential response from alliance members remain crucial factors that will shape the future dynamics of the ongoing conflict and Ukraine’s strategic alignment. The summit in Vilnius will serve as a pivotal moment to assess the level of support and commitments Ukraine will receive from its Western allies in its pursuit of NATO membership.

‘I have no role in this case,’ Qatargate suspect Eva Kaili says

Libération said the interview was conducted at Kaili’s Brussels residence on April 25, 11 days after she was released from jail to house arrest. Her house arrest was lifted on May 25.

In the interview, Kaili stressed that she was “never mentioned” in the discussions between former Italian MEP Pier Antonio Panzeri, the alleged ringleader of a bribery network who struck a plea deal with Belgian investigators in January, and his former assistant, Francesco Giorgi — who is also Kaili’s partner — which the police had monitored.

Kaili was jailed in December as part of a wide-ranging corruption probe by Belgian authorities into whether foreign countries, including Qatar and Morocco, illegally influenced the European Parliament’s work. Her arrest came after the Belgian police recovered €150,000 in cash from her apartment — where she lived with Giorgi — and a bag full of money carried by her father.

According to the arrest warrant issued on December 9, Kaili was detained on the accusation of being “the primary organizer or co-organizer” of public corruption and money laundering in the case.

Asked in the interview about the circumstances of her arrest, Kaili said she only discovered the existence of that money — stashed in two safes in her apartment — on the day she was taken into custody.

Kaili also defended her partner, Giorgi, who she said was “under Panzeri’s influence,” and repeated previous complaints from her lawyers that she was then detained in inhumane conditions.

Kaili was stripped of her position as one of the vice presidents of the European Parliament over her role in the case, but remains a sitting MEP.

According to her lawyers, she is planning to return to work and wants to attend the Parliament’s next plenary session in Strasbourg in mid-June.