An Italian official said Prime Minister Meloni's government will extend a diesel
tax reduction of 17 euro cents per liter through Sept. 10. The measure is the
latest in steps introduced since March to blunt an energy-price surge linked to
the Iran conflict. The extension comes amid rising political pressure ahead of
elections due by end-2026 and growing splits within Meloni's right-wing
coalition over how to fund further aid; funds for consumer relief and support
for strained industries are being depleted, the official said. Italy's
debt-to-GDP remains well above 130% and economic growth this year is forecast at
0.6%.
