The government has hailed the latest figures on state accounts, especially the budget deficit, which the national statistics bureau Istat put at its lowest level since 1999.
Italy's budget deficit stood at 1.3% of gross domestic product (GDP) in the first nine months of 2007, compared to 4.0% for January to September 2006, Istat said.
''The figures are very important and show that we have taken the right direction,'' said government spokespersons on Tuesday night, referring to the centre-left administration's efforts to boost the primary surplus and contain the budget deficit.
The high rate for the first nine months of 2006 included a major VAT reimbursement ordered by the European Court of Justice, Istat noted.
The deficit-to-GDP ratio totalled 0.5% in the third quarter of 2007, against 6.2% in the corresponding period of 2006.
The current account surplus stood at 10.4 bln euros ($15.207 bln), up from 5.1 bln euros ($7.457 bln). The current account surplus accounted for 2.7% of the GDP, up from 1.4%.
The current account surplus rose to 1.7% of the GDP in the first nine months of 2007 from 0.8% of the GDP for the corresponding period of the previous year.
Italy's primary surplus grew to 16.7 bln euros ($24.419 bln) from a primary deficit of 6.4 bln euros ($9.358 bln). The primary surplus-to-GDP ratio totalled 4.4%, a climb from a negative ratio of 1.7%.
Meanwhhile, total tax revenue went up 7.2% to a level equivalent to 43.7% of GDP, up from 42.7%.
Italy's current account revenue rose by 7.0% due to a 13% growth in the direct tax revenue, a 4.0% increase in the indirect tax revenue and a 5.8% rise in the revenue from social security contributions.
Total expenditure hit 44.2 of the GDP, compared to 48.9%. Current account spending increased by 3.7%.
