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Valdis Dombrovskis, a Latvian politician and the current European Commission Vice-President for the Euro and Social Dialogue, has reportedly said that Italy must follow a prudent budget policy.  

His comments come after Italy elected a populist government.  

Italy, the third largest nation and the second modest indebted nation of the monetary union, will be governed by eurosceptic parties, who want  to cut taxes drastically and reduce pension cuts again.