ROME - Five Star militants were celebrating Friday after the populist government approved a budget deficit at 2.4 per cent of GDP, designed to “abolish poverty.”

 An agreement was reached shortly after 9 p.m. following a long afternoon of deadlock between the coalition government and Economy Minister Giovanni Tria. 

 Mr Tria had tried for days to limit the deficit to 1.6 per cent of GDP, in line with EU demands that Italy rein in its high debt.

 With 13.6 billion euros in “additional resources”, Deputy Prime Ministers Luigi Di Maio and Matteo Salvini are confident they will be able to fulfil their election promises of basic income for the poor and a reduction in the minimum retirement age.

 “We have brought home a political manoeuvre in favour of the population that for the first time in the history of this country erases poverty thanks to citizenship income for which there is 10 billion,” Mr Di Maio said.

 Prime Minister Giuseppe Conte said, "We have planned the biggest programme of public investment that has ever been implemented in Italy.”

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