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Italy’s Revised Recovery Plan Wins EU Council Approval

Trade and Economics - November 29, 2025

A milestone that strengthens Italy’s standing in Europe and reinforces its commitment to strategic reforms and investments

The European Union Council has officially approved Italy’s revised National Recovery and Resilience Plan (NRRP), marking a significant step forward in the country’s implementation of the broader NextGenerationEU framework. The endorsement represents the sixth modification to the Italian plan and is being hailed in both Brussels and Rome as a constructive achievement that preserves its financial ambition while improving its effectiveness.

Raffaele Fitto, Executive Vice President of the European Commission, welcomed the decision as “an important milestone and the outcome of a constructive dialogue between the Commission and Italian authorities.” According to Fitto, Italy’s revised proposal maintains the plan’s overall allocation of €194.4 billion, confirming its strategic scope and long-term ambitions. At the same time, the adjustments introduced aim to streamline procedures and enhance the impact of key interventions.

Italian Prime Minister Giorgia Meloni expressed strong satisfaction with the approval, emphasizing that it validates the government’s efforts to ensure a robust and credible implementation pathway. “The EU Council’s confirmation underscores the solidity of our work on the NRRP,” Meloni stated. She highlighted that the plan’s financial envelope remains unchanged at €194.4 billion, a signal—she argued—of Italy’s unwavering commitment to carrying out decisive reforms and strategic investments. For the Prime Minister, this outcome strengthens Italy’s position within the European Union and demonstrates its capacity to translate ambition into concrete achievements, ensuring that EU resources fully benefit citizens and the national economy.

Meloni also announced that the European Commission is expected in the coming days to give the green light for the disbursement of the eighth payment tranche, amounting to €12.8 billion. Once released, total funds received by Italy under the recovery mechanism will exceed €153 billion—further illustrating the country’s progress in meeting the milestones and targets associated with the plan.

Fitto contextualized the revision within the broader framework of the Commission’s communication “NextGenEU: the road to 2026,” which urges all member states to update their plans to ensure full completion by the August 31, 2026 deadline. He explained that all 173 measures linked to the upcoming three payment instalments were reevaluated during the revision process. Of these, 83 measures were simplified to create a more straightforward implementation path, while the remaining adjustments target more specific refinements aimed at delivering stronger and more achievable results within the prescribed timeframe.

The updated plan emphasizes priority sectors that are essential to Italy’s long-term growth and regional development. Fitto reaffirmed the Commission’s ongoing commitment to supporting member states in implementing NextGenerationEU effectively, transparently, and on schedule. “Our goal remains unchanged: to accompany member states toward efficient and timely execution, ensuring that every investment and reform generates tangible benefits for citizens, businesses, and local communities,” he said. He added that the successful implementation of Italy’s NRRP is not only crucial for the country itself, but also for the broader European project of shared recovery, resilience, and sustainable growth.

The approval of Italy’s revised plan thus represents more than a procedural update. It signals renewed confidence in the country’s ability to overcome administrative bottlenecks, accelerate strategic projects, and maintain alignment with EU-wide priorities. It also reinforces the collaborative spirit at the heart of the recovery program—one that requires constant coordination between national governments and European institutions.

As Italy enters this new phase of implementation, the challenge will be to convert streamlined measures and revised timelines into concrete, measurable outcomes. With substantial EU funding still to be absorbed and tight deadlines ahead, the coming months will test the efficiency of the reforms and the resilience of administrative structures at both national and local levels. Yet both the Commission and the Italian government emphasize a shared commitment to ensuring that the plan delivers on its promises.

The EU Council’s endorsement marks a pivotal moment, reaffirming Italy’s central role in the collective European recovery effort. If successfully executed, the revised NRRP could serve not only as a catalyst for Italy’s modernization and growth, but also as a model of effective collaboration within the European Union’s most ambitious recovery initiative.

 

Alessandro Fiorentino