ROME, Jan. 4 (Xinhua) -- Italy's public finances are "fragile and exposed to risks," the country's Audit Court wrote in a report on the 2020 economic outlook that was written in December and published on Saturday.
Established in 1862, Italy's Audit Court is tasked with oversight of "the appropriate and efficient use of public funds", according to its website.
"The economic situation is characterized by growing uncertainties weighing on the international macroeconomic picture, including due to protectionist pressures, which translate into a significant slowdown of the chief European economies," the Court wrote.
"Growth remains weak... and the outlook for the Italian economy, which is already far behind the European average, is further affected by it," the Court wrote.
In terms of public finances, Italy "appears fragile and exposed to risks in both the short and the medium term," the Audit Court reported.
The difficulties, wrote the Audit Court, affect "wide sectors of aggregate demand and especially domestic demand."
Also on Saturday, a report by CGIA think tank based in Mestre, near Venice, said that Italy's small- and medium-sized enterprises (SMEs), which form the backbone of the country's manufacturing sector, are burdened by a business tax rate of "51.9 percent of profits, while web multinationals in Italy...are taxed at 33.1 percent".
The tax burden on Italian SMEs is "among the highest in Europe" said the CGIA report.
Cutting business taxes "would be very welcome, especially for those entrepreneurs who export their manufactured goods around the world," the CGIA report said.
