with north method donia and albania is admission from a made for a sobering end to a summit in brussels italy wants to restart talks on enlarging the bloc france has other ideas chancellor merkel wanted to put pressure on paris but she didn't succeed france continues to say no opinion and northern macedonia to western balkan countries will have to wait for invitations to join the e.u. they won't be offered at this summit. when germany for position was that under certain conditions e.u. access and talks could begin but i'm sorry to say this position was not unanimously agreed upon. without any entry prospect member states are concerned that russia or china might win more influence in the region but france together with denmark in the netherlands criticizes the current approval process president mcconnell says it's too cumbersome for paris reform is long overdue and a key issue. is what that the process must be reversible otherwise it won't be credible and that's why my wish is that before we accept a new e.u. members that many of the current members meet the reform criteria. e.u. states are po

italy a country that conjures up beautiful images to cations. excellent cuisine. everywhere we go we see large signs saying built with e.u. subsidies for decades money from brussels has gone into construction here nevertheless italy is in a state of crisis the south is still one of europe's poorest regions. so where have all the billions gone. this man should know they look at orlando has been mayor of palermo for almost 20 years he's something of a national hero in italy. and thanks to him the mafia and palermo has little influence these days the crime rate is the lowest in italy. the locals like him. he shows us what he's achieved in palermo with european union funding. so the subtleties that appear in subsidies we use for example to modernize all street like york he folded up his money went into restoring historic buildings and promoting cultural institutions this hour will be the future story should will and that he. is one of europe's leading oprah houses following the paris and the vienna states all probability but he will steal money in a wood just to bring 1st class opera to the pool halls as a polemic what you put in levy it was 33 year. old this was sub

the trajectory of the italian debt and pushing the boundaries of where brussels would like them to be? >> it is clear what italy's challenges are fundamental challenges are low economic growth. closing the productivity gaps. that is the critical issue without solving that, italy will never solve that fiscal problem if it doesn't get growth, for sure that credible term of fiscal plan for conservation and slowly bring down debt, what the appropriate fiscal position next year is again. this is something to decide to take into account in the recent development. i'll put hear the development is uncertain. whatever italy does now needs to be anchored in the plan. that is critical >> my question to you is, can italy succeed in boosting productivity and these reforms perhaps the european commission and the imf need to be more open finded minded to the possibility of that growth happening. >> it has to be in the context of a credible plan -- what matters is when announced commitments that suggest italy will get a grip with the issues and the border reforms. that in it self will give you more fiscal space in the short run.

italy's budget will add to its debt. france too was facing scrutiny the european commission said paris's budget is not in line with commitments made to brussels and criticized the government for under delivering i needed structural reforms such as pensions and lalabor laws. france's finance minister defended the government's decision to cut nine billion euros in taxes in the wake of the yellow vest protest. in a period of economic slowdown we have chosen to lower taxes on the french people and advance the pace of budgetary consolidation. no lemairere said france would respect in new commitments on public spending and reducing debt. under e. u. budget rules no country can have a deficit larger thann 3% of gdp or a debt load greater than 60% of output. governments are required to show they're moving in the right direction with annual targets. those who break the rules risk a fine of up two point 2% o of gdp. under the farmers across france of stage protests outside government offices calling for greater support for their industry. the demonstrations blocks roads in many parts of the country. farmers say they can't earn enough to live on and are

the france cac up by about half i percent, the ftse mib in italy up .28% and in spain up as well. willem marx is in brusselsteve is at the nasdaq marketsite in times square willem, let's start with you on the newest front in the trade war. >> a ruling that the u.s. is able to impose tariffs on around $7.5 billion of goods. something we expected. those tariffs seem to be something the u.s. is keen to move forward with quickly. that will happen likely mid-october. the u.s. trade rep's office saying they'll impose those tariffs. the uk commission has said they do not want to see tariffs imposed. they would much rather have a settlement the president of the european commission saying europe would have to respond and respond in kind in terms of when they'll respond, that is the question. they are waiting for the equivalent ruling from boeing and the united states. they may waitle this that moment as a chance. this is an option very much on the table. they'll look at all wto rulings as a reason to impose those clearly on the context of much broader discussion of trade the tension is rising. there is a sense that

italy will last. fergus walsh, bbc news, genoa. the time is 6:17am. the top story this evening. brexit negotiators are still hard at work in brussels. . i'm fine. how can i be expected to keep you safe when you're determined to make the worst choices? and the play that gives voice to those affected by the yorkshire ripper and never mentions his name. coming up on sportsday in the next 15 minutes on bbc news, we hearfrom the world champion, katarina johnson—thompson on how a coaching change paid dividends and how tough it will be at the tokyo olympics next year. here's a question: what does a row between america and the eu over aircraft subsidies have to do with the price of scotch whisky exports? from this friday the us will impose more than $7 billion worth of extra import taxes on all kinds of goods from europe. that's in retaliation for illegal subsidies that some eu countries — including the uk — gave to plane maker airbus, the great rival of the us manufacturer boeing. today, president trump said the us was "getting even" for unfair treatment. and scotch whisky — it seems — is caught in the middle — as our business editor simo

anti migrant policies italy has taken in more than 7000 people all 3 countries say they need a plan to redistribute the migrants. here we go let's introduce our guests today in brussels on skype remoter a humanitarian affairs advisor on migration of doctors without borders and also on skype from via a fellow at the italian institute for international political studies welcome to you both remember in brussels coming to you 1st will this deal actually work and most of those been running such a risky activities in the mediterranean 3 years now and what we've seen that is a situation that has been created by a political chaos we do not believe that disembarkation should be linked to memory location and of the 1st priority for search and rescue should be saving lives at sea and that's what any deal any discussion especially rescue should be ok thanks for that material here in milan why is it so far into this crisis and it's now been going on a long time are we still only talking about a draft deal well there is it is there was a new political commitment from the many countries before and there are not as conscious of are only europe and right now it's still a tentative de

italy's draft is not in line with its requirements. it also says portugal is in breach of recommendations, belgium is in breach of recommendations. interesting because brusselsheadquarters, and that france's 2020 budget plan seems in breach of the rule. let's get our stock stories with dani burger. back to theg earnings story, we have software ag surging today, trading at its biggest gain since 2016. it will beat on its third-quarter by the end of the day. keeping their outlook for the year. novartis, bigger gains are easing off. they have raised their profit outlook for the third time this year but health care is slumping. maybe why we aren't seeing as big of gains as some expected. ams, another earnings beat, raising their outlook for the year. things numbers are positive, encouraging. cash flow, margins, all looking strong, matt. matt: thank you for that. of an era ase end ecb president mario draghi's last policy decision approaches, we look back at the last eight years of what he has accomplished. that is next. this is bloomberg. ♪ matt: welcome back to "bloomberg markets: the european open." looking at jean-claude juncker lamenting the vote for brexit a

anti migrant policies italy has taken in more than 7000 people all 3 countries say they need a plan to redistribute the migrants. here we go let's introduce our guests today in brussels on skype remoter a humanitarian affairs advisor on migration of doctors without borders and also on skype from milan matteo via a fellow at the italian institute for international political studies welcome to you both remember in brussels coming to you 1st will this deal actually work the most of those been running such a risky activities in the mediterranean 3 years now and what we've seen that is a situation that has been created by a political chaos we do not believe that disembarkation should be linked to memory location and of the 1st priority for search and rescue should be saving lives at sea and that's what any deal any discussion especially rescue should be ok thanks for that matter of you're in milan why is that so far into this crisis and it's now been going on a long time are we still only talking about a draft deal well there is it is there was a new political commitment from the many countries before and there are not as conscious of are only europe and right now it's st

brussels on wednesday. francine: if there is a no deal brexit, and i don't know if it is 10% probability or higher, but what would it mean for a country like italynew faces, new government, new correlation, they do starting to kick into year their economic plan. could italy survive a no deal? mario: the consequences of a no deal brexit would be very severe. but also for each of our member states. italy has a huge bilateral trade with the u.k.. we have about 700,000 italians living in the u.k.. be an ambivalent affect because the economic and financial implications for italy would be very negative. , the vagaries of u.k. politics on brexit over the last several years make italy appear particularly stable, reasonable, which is not exactly the image that is attributed to italy. and italy in milan general actually benefit from brexit? we are in a milan today. we often talk about the brain drain of smart italians living abroad. is it somehow an opportunity for the government to bring them back? mario: yes, provided the new government does a number of important things. otherwise, they might well frankfurt, new york, or asia, rather than london. not ne