Why Draghi Blasted Renzi

For over a month, debate in Europe has been dominated by Italian Prime Minister Matteo Renzi’s campaign for greater “flexibility” in the application of the euro zone’s fiscal rules—code for allowing countries to run bigger deficits. Mr. Draghi’s speech was a thinly veiled rebuke to Mr. Renzi. The stability of the euro zone depends on enforcing the existing fiscal rules—“not on having more flexibility,” he said. “To unwind the consolidation that has been achieved, and in doing so, divest the rules of credibility, would be self-defeating for all countries.”

WSJ