Morgan Stanley: Italy to struggle to achieve planned 2019 growth rate - CNBC

Reporting on a recently published analysis by Morgan Stanely, CNBC said that Italy will struggle to achieve the growth rate targeted in the 2019 budget proposal.

"In its latest 2019 budget draft plan, Rome has forecast a growth rate of 1.5 percent in 2019 — a contrasting estimate to Morgan Stanley's latest forecast of 0.5 percent of gross domestic product (GDP) for next year," CNBC's Silvia Amaro wrote.  

"We expect a contraction in economic activity towards year-end, mainly driven by domestic demand, both consumer spending and business investment," Morgan Stanley noted, according to CNBC. "Further out, the fiscal boost to growth will probably have some beneficial effects on consumption. But it's unlikely to be so big as to result in an improvement of the public finances."