Italy Asserts National Sovereignty Amid EU Scrutiny

Post by : Bianca Suleiman

ROME – Italy is standing its ground against pressure from the European Union, affirming that national security and strategic sector decisions must reside with individual member states. Prime Minister Giorgia Meloni articulated this viewpoint on Wednesday, deeming it essential to protect the nation's critical interests.

This statement comes as Brussels intensifies scrutiny over Italy's implementation of its "golden power" laws, which permit government intervention in vital sectors, including banking, telecommunications, and defense, to safeguard strategic assets. Italy has been prominent in using these powers, prompting concern among EU officials.

Previously, Italy intervened to halt a significant banking merger, with UniCredit—Italy's second-largest bank—abandoning its €15 billion ($17.5 billion) bid for Banco BPM due to conditions imposed by the government. This incident underscored the friction between national authority and EU financial integration.

As the EU leaders summit approaches, Meloni emphasized in parliament that the responsibility of safeguarding national security cannot be transferred or dictated by Brussels. “It is, and must remain, the member states who are the decision-makers in this process,” she stated, echoing sentiments recently expressed by Economy Minister Giancarlo Giorgetti.

Meanwhile, the European Commission has indicated plans to contest Italy’s golden power regulations. Reports suggest that Brussels will demand Rome retract specific conditions linked to the UniCredit-Banco BPM merger and may explore a broader infringement procedure to challenge the legislation's boundaries.

While the EU aims to streamline bank consolidation continent-wide, Italy’s government is framing this situation as a vital discussion on national sovereignty, economic policy, and defense strategy. Experts anticipate that the next few weeks will be pivotal in shaping the equilibrium between member state authority and EU regulatory ambitions.