Italy’s PM Draghi: First priority is to fight the pandemic

First priority is to fight the coronavirus pandemic, Italy’s new Prime Minister and the former European Central Bank (ECB) President Mario Draghi said while delivering his maiden speech in the Senate to present policy priorities.

Additional comments

Feels the pain of those who are suffering due to economic slump.

Govt will pass reforms and tackle emergencies.

Recovery fund requires us to pass reforms.

Will pass reform of tax system.

Reform of public administration cannot be delayed.

Italy must increase efficiency of justice system.

Italy will be bound to its EU and US allies.

Will seek dialogue with Russia.

Will seek new pact with the EU over immigration policy.

As G20 president Italy will drive efforts to exit covid pandemic.

As G20 president Italy will promote "green and sustainable" economic growth.

His government cannot succeed without strong support from parliament.

Political parties have the "duty" to show unity.

His government will strengthen use of renewable energy.

Recovery fund may be reshaped, but the main points remain those laid out by last government.

Govt will invest in digital infrastructures, including 5g.

Italy's recovery plan will include projects to be concluded over 6 years.

Italy's finance ministry will be in charge of recovery plan.

Like during the immediate post-war period, Italy now needs a "new reconstruction".

Debt will increase but waste must be avoided.

Market reaction

The euro shrugs off the above comments, as EUR/USD drops 0.29% to 1.2068, at the press time. Broad-based US dollar rebound is the main catalyst behind the decline in the spot.