NoL330/48 OfficialJournaloftheEuropeanCommunities ;12.75
COUNCIL DIRECTIVE
of18December 1975
adaptingtheconditionslaiddownforthegrantofmedium-term financialassi
tancetotheItalianRepublic
(75/784/EEC)
accountofthecentralgovernmentl-ausethedete­
riorationnotedduring1975;wleasasubstantial
reductionofmonetaryfinancingc^edeficitontrea­
surytransactionsisnecessaryinordancewithpara­
graph2ofthesameArticle,d^therefore
appearstobeadvisabletosetfilingforthis;
Whereasitappearsnecessary Councilshould
beabletoadaptagainforand,whereappro­
priate,inthecourseof1976econditionslaiddown
inDirective74/637/EECasAPtedbYthisDirective;
Whereasitshouldbepo^etointermediate
objectivesshortly;
Whereasitappearsadvisaetosetadeadlineforesta­
blishingtheextenttowththeconditionslaiddown
inArticle7ofDirece74/637/EEChavebeen
fulfilled,THECOUNCILOFTHEEUROPEAN
COMMUNITIES ,
HavingregardtotheTreatyestablishingtheEuropean
EconomicCommunity ,andinparticularArticle
108(2)thereof;
HavingregardtoCouncilDirective74/637/EEC(*)of
17December1974grantingmedium-term financial
assistancetotheItalianRepublic,andinparticular
Article8thereof;
Havingregardtotherecommendation submittedby
theCommission ,afterconsultingtheMonetary
Committee ;
WhereastheeconomicsituationoftheItalianRepu­
blichasbeenthesubjectofdetailedexaminationin
collaborationwiththeMonetaryCommittee ;whereas
thisexaminationhasrevealedaconsiderableimprove­
mentintheinternalandexternaleconomicequili­
brium;whereastheprincipleobjectiveofDirective
74/637/EECwastoimprovethebalanceofpayments
bymeansoftheachievementin1975ofasurplusof
atleast1000millionUSdollarsontheItaliantrade
balance,leavingasidenetimportsofpetroleum
products;whereasthisobjectivehasbeenattainedand
evensubstantiallyexceeded;
WhereasArticle8ofDirective74/637/EECprovides
fortheadaptationbytheCouncilfor1976ofthe
conditionslaiddowninArticle6concerningthe
economicpolicymeasurestobetakenbytheItalian
Republic;whereas,for1976,theprincipleobjectiveof
thesemeasuresistokeeptheoveralltradebalance
deficit(differencebetweenimportsfobandexports
fob)belowLit1500000million;whereastheoutlook
forthedevelopment ofeconomicactivityis,inthe
presentsituation,particularlyuncertain ;whereasitis
thereforenecessarytomonitorwithparticularcarethe
developmentoftheeconomicsituationinItalyinthe
courseof1976andtoadapttheobjectiveslaiddown,
shouldtheeconomicassumptionsonwhichtheyare
basedneedtobemodified ;
WhereasArticle7ofDirective74/637/EECsetsout
medium-term economicpolicyguidelines ;whereas
theseguidelinesareassuminganincreasingimpor­
tanceasthedateofexpiryofthefinancialassistance
approaches ;whereasaspecialeffortshouldbemade
bytheItalianauthoritiestoimprovethecurrentHASADOPTEDTHISIRECTIVE :
Article1
1.TheeconompolicymeasuressetoutinArticle
6ofDirective4/637/EECshallbeadaptedas
follows:
(a)thegrowthtotallending,asdefinedinArticle
6(1)ofDir^ve74/637/EEC,shallbelimitedto
Lit3100000millioninrespectofthe1976
calendarvr;
(b)thedeficontreasurytransactions ,asdefinedin
Article3)ofDirective74/637/EEC,mustnot
exceedt14800000millioninrespectofthe
1976cndarYear-
2.Theeconomicpolicymeasuressetoutin
Article7*Directive74/637/EECshallbeadaptedas
follows:
(a)theteofincreaseincentralgovernmentcurrent
exdituremustnotexceed15%inthe1976
candaryear.Thecentralgovernmentshalltake
srstoensurethatotherpublicauthoritiesand
socialsecurityinstitutionslimittheircurrent
penditurein1976tothesameextent;
(b)entralbankfinancingofthedeficitontreasury
ransactions shallbelimitedtoLit5700000
millioninthe1976calendaryear. (■)OJNoL341,20.12.1974,p.51.

24.12.75 OfficialJournaloftheEuropeanCommunities NoL330/49
4.By31December1976,theItalianauthorities
shallcommunicate totheCommission theextentto
whichthemeasureslaiddowninArticle7ofDirec­
tive74/637/EEChavebeenachieved.
Article3
ThisDirectiveisaddressedtotheMemberStates.
DoneatBrussels,18December1975.Article2
1.BeforetheendofFebruary1976,intermediate
objectivesshallbejointlyagreedbytheItalianauthori­
tiesandtheCommission asregardsthemeasuresset
outinArticle1(l)(a)and(2).
2.Actingonarecommendation fromtheCommis­
sion,theCouncilmay,inthecourseof1976,decide
ontheadaptationoftheobjectivesreferredtoin
Article1shouldtheeconomicassumptionsonwhich
theseobjectivesarebasedneedtobesubstantially
modified .
3.Actingonarecommendation fromtheCommis­
sion,theCouncilshall,bytheendof1976,adaptfor
thefollowingyeartheobjectivesreferredtoinArticle
1.FortheCouncil
ThePresident
M.TOROS