ROME (Reuters) – Italy is set to put aside 300 million euros ($348 million) to refinance subsidies for citizens who want to buy non-polluting vehicles this year, a draft decree seen by Reuters showed on Friday.
Funds will be mainly allocated to subsidise purchases of low emission cars, full electric and hybrid, but will be also available for state-of-the-art Euro6 small and medium cars, commercial vehicles and second-hand cars, the draft showed.
The measure is expected to be approved at a cabinet meeting later on Friday as part of a broader stimulus decree, and its size is still subject to changes.
It adds to a total amount of around 800 million euros in funds that Rome has already set aside this year to help purchases of low emission vehicles.
Car registrations in Italy have declined almost 33% in September, transport ministry data showed earlier this month.
The drop is the third monthly contraction in a row, as post-pandemic recovery was hampered by a global microchip supply shortage, which is pushing automakers to reduce production.
($1 = 0.8610 euros)
(Reporting by Giuseppe Fonte and Giulio Piovaccari; writing by Giulio Piovaccari, editing by Giulia Segreti)
