ROME—Italy’s coalition parties are resisting any major reduction to next year’s deficit target, complicating efforts to avoid EU disciplinary action over the 2019 budget, a government source said on Dec. 11.
The European Commission has rejected Rome’s budget, which predicts the deficit will rise to 2.4 percent of gross domestic product in 2019 from 1.8 percent this year, saying it will not cut Italy’s large public debt as the rules require.
