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Prime Minister Renzi: Thank you so much.
And obviously, thank you so much, President Obama,
because for me it's a very great pleasure
to host here in Villa Madama President Obama.
All Italian journalists know very well President
Obama is not only the President of the
United States, obviously, but for me and my team,
is also an inspiration and model.
And so for this reason, I have particularly
appreciate this opportunity of meeting.
Now, I speak in Italian.
(As interpreted.) I wish to thank the
United States government for this wonderful
opportunity to meet.
I wish to thank President Obama because I think that
today's dialogue not only confirms the fact
that there's a great friendship and a great partnership
between our two countries, but it also confirms the
fact that considering the crises that we have
to face up to, the role of the United States and
Europe and Italy is to be a beacon.
We have to safeguard common values and ideals,
so cooperation and partnership embrace
important international issues
and everyday issues.
I'm happy to say that President Obama
has taken a bit of time -- will be taking a bit of time
to visit some of our monuments and historical
places here in Rome, and hopefully
Ambassador John Phillips has prepared some wonderful Italian
meals for him and I'm sure he'll have a taste
of the excellent quality of life in this one and
a half days that he'll be spending in our country.
When it comes to Italian lifestyle, I think that
next year's meeting in Milan at the Expo 2015
is going to be of utmost importance.
We're talking there about food, the environment,
innovation, and that, of course, is all part
of our way of living, and it will be a wonderful
opportunity for Italy to host countries
from all over the world.
I wish to thank the President of the
United States of America for what
he said yesterday in Brussels.
The great challenge that's been thrown out
in the relationship between the
U.S. and the European Union is a fascinating challenge.
I do think that in Europe we need reforms,
but we also need more growth.
I think that Europe must be the place where
politics will give hope back to our families.
We spoke today during our meeting,
and the President said this in his address yesterday:
Our grandfathers had to fight for Europe.
The United States had to fight to save
democracy in Europe.
And in Europe, there was a fratricidal war.
I know that my mother used to cry before
the Berlin Wall, when that boundary fell,
when it broke down.
And my generation is the Erasmus generation.
I'm thinking of a future generation where
there will be a stronger unification process,
and where in Europe there will be peace and stability,
but where there will also be growth and the fight
against youth unemployment.
We will be investing in our hopes
and our prosperity.
So the message delivered yesterday
by President Obama was delivered very clearly.
And I think that in the EU semester,
during which Italy will have the presidency,
we will be delivering the same message.
And, clearly, Italy will work on the reform
and process that is underway.
And I don't think we need to talk
further about this.
I can just confirm that we do want to change Italy,
because we are convinced of the fact that
if we change Italy, we'll be helping Europe
to change as well and we'll be strengthening
our relations with the U.S. evermore.
So from this standpoint, I do confirm the commitment
of our country together with European partners
and together with the United States,
and in particular in the Mediterranean region.
The Mediterranean is the place that
the Romans used to call "Our Sea" -- "Mare Nostrum."
Maybe it's not the most appropriate translation.
In other words, in Latin they say, "Mare Nostrum."
But we mean when we say this that
there were youngsters who triggered the Arab Spring
and, therefore, we need to support all this.
We need to support the desire for freedom
and democracy of the Libyans and of the people living
in North Africa.
So this is what I mean when I say
it's "our sea," in particular.
So I wish to reassure President Obama
that we want to work together, especially in those areas
where Italy's presence and impact can be strong.
And I also say that Europe should not consider
the Mediterranean as a frontier.
It should be seen as the heart of our political
and cultural and moral actions.
Now, I also wish to underscore that
the relations between the United States
and the European Union and Italy are still strong,
despite the difficult moment in connection
with the Ukrainian crisis.
President Obama and the European nations
in the G7 meeting discussed, in fact, the crisis
in Ukraine, and we shared the view that we
do not uphold the decisions made by Russia.
This goes against international law.
And we tried to convey a message showing our unity,
our strength and our great concern,
and yet our great resolve -- the resolve
of the international community.
I also appreciated the words of President Obama
at the G7 meeting when he reiterated
the need to look into energy issues more thoroughly.
I think that during the Italian presidency
of the EU, we'll be able to work with determination
and resolve and tenacity.
And I also hope that during our presidency
of the EU, we'll be able to move forward in economic
cooperation and also in ICT, for example,
and in connection with our traditional values
and the hopes that we have in terms of boosting
employment and doing this also through
the ICT sector.
So, for all these reasons, I think that today's
meeting was indeed important
for our government.
And I wish to say to President Obama that
your first message, "Yes, we can," is a message
that we all remember, and we see this
as being a huge potential,
showing us that there are possibilities, opportunities.
And this is an important message for us in Italy
as well, because we have to say in Italy today that
we know that things need to change, that people
don't need to ask us to change from the outside.
And all the structural changes that
we are working on are reforms that will give
this hope back to us, the hope that things
can, indeed, change.
So President Obama's visit to Italy isn't just
a symbolic gesture.
It is a form of encouragement
from our greatest friend.
And I think that you are also
a political beacon for us.
And for Italy and for Europe, it is important
to have future relations, and the next chapter
is going to have to be written and I think that
we can write that together.
Thank you.
The President: Buon pomeriggio.
Thank you, Prime Minister Renzi,
for your very kind words.
To you and the Italian people, thanks for
welcoming me today.
The Prime Minister and I and his fine Foreign
Minister spent some time in The Hague, but you can
never get too much of your Italian friends,
and we were able to continue the discussion today.
My day started with the great honor of meeting
His Holiness, Pope Francis.
And like people around the world, I've been
incredibly moved by his compassion,
his message of inclusion.
I was grateful to have the opportunity to speak with
him about the responsibilities that we
all share to care for "the least of these" -- the
poor, the excluded.
And I was extremely moved by his insights about the
importance of us all having a moral perspective
on world problems and not simply thinking
in terms of our own narrow self-interests.
Of course, it's wonderful to be back in Rome --
one of the truly great cities of the world.
I should point out, though, that while this
is our first official bilateral meeting,
I already had the chance to welcome Matteo Renzi
to the White House.
He came a few years ago as part of a group of mayors,
back when he served as the Mayor of Florence --
il primo cittadino.
And I look forward to the opportunity to welcome
the Prime Minister back -- this time
as prime minister.
I also want to say that I had a wonderful meeting
with my good friend, President Napolitano,
and I think that Italy is lucky to have such
an extraordinary statesman to help them guide
the country through some challenging times.
Italy and the United States share extraordinary
bonds of history and family and culture.
We're especially grateful and proud
for the Italian-Americans who have made enormous
contributions to our country.
Italy is one of our closest allies.
Our partnership is one of the strongest links
binding Europe and the United States together.
And I've made clear throughout this trip
that our partnership with Europe is
the foundation of America's engagement in the world.
It's a cornerstone of our security policy.
So I appreciated the opportunity to consult
with the Prime Minister on a wide range of issues.
On a more personal level, I want to say that
I've just been impressed by the energy and vision that
Matteo is bringing to his position.
There's a seriousness and ambition of ideas,
and I think the spirit and the energy of the Italian
people has the opportunity to be unleashed
in a way that will be good for Italy,
but it will also be good for Europe.
And so it's wonderful to see this new generation
of leadership coming to the fore.
As the Prime Minister indicated,
we focused on the situation in Ukraine -- something I've been
talking about over the last three days --
and we continue to see international unity
in the face of a violation of international
law and Ukraine's territorial integrity.
The IMF's announcement today that it reached
a preliminary agreement with Ukraine on a loan program
is a major step forward.
This significant package of support is going
to help Ukraine stabilize its economy and meet the needs
of the Ukrainian people over the long term because
it provides the prospect for true growth.
It will require some structural reforms, but it
also means that Ukraine can go on a path that
countries like Poland have been able to embark on and
seen incredible growth over
the last several years.
It's also going to reinforce democratic
reforms, and it should help unlock some
$27 billion in international support for Ukraine.
So it's a concrete signal of how the world is united
with Ukraine as it makes tough choices
at an incredibly difficult time.
And Ukraine's leaders can show considerable courage
and foresight by making the reforms that will help
them grow their economy, leave behind
the corruption of the past.
And today, I want to call on the United States
Congress to make sure that the United States does its
part with an economic assistance package that
helps support the Ukrainian people
as they move forward.
As NATO allies, the United States and Italy
are going to uphold our solemn obligation to the
security of our allies.
As G7 partners, our decision to move ahead
with our summit in Brussels without
Russia is an example, a signal
of Russia's growing isolation.
The sanctions that the United States
and the European Union have imposed will continue
to grow if Russia doesn't change course.
But as I said yesterday in Brussels,
we are continually hopeful that Russia walks through
the door of diplomacy and works with all of us to
try to resolve this issue in a peaceful way.
And we will continue to coordinate closely with
Italy and our other European partners
throughout this crisis.
I thanked the Prime Minister as well
as President Napolitano for Italy's
commitment to NATO.
Italian forces have served admirably in Afghanistan,
where Italy is one of our largest contributors to
the coalition; in Kosovo, where Italians command the
NATO force.
I would add that Italy both commands and
contributes a large number of peacekeepers
to the U.N.
force in Lebanon.
And at the Nuclear Security Summit this week,
we announced the complete removal of Italy's excess
highly enriched uranium so it can be eliminated.
And this was a critical step in our work
to make sure that dangerous materials don't fall into
the hands of terrorists.
And it's one more example of Italian
leadership across the board.
We discussed the need to boost economic growth
on both sides of the Atlantic so that we're creating
jobs for our people, especially young people.
And that's why, in addition to the kinds
of steps that the Prime Minister has outlined
and that he plans to pursue internally,
we have an opportunity also to move forward with
a Transatlantic Trade and Investment Partnership
that can actually boost growth and investment
not just for large, but also for small- and
medium-sized businesses on both sides
of the Atlantic.
I commended Prime Minister Renzi for his efforts
to make it easier for Italian companies to hire
more workers and to make the Italian
economy more competitive.
And I know that a lot more remains to be done.
There are going to be tough choices,
but as Italy moves forward and makes the hard decisions,
the United States will continue
to stand with you.
Finally, we discussed some broader global issues.
Italy played a critical role in the NATO air
campaign to protect the Libyan people
three years ago.
We're now going to be working together to make
sure that they can develop the security forces that
can restore order to Libya and make sure that they
have a government that is actually
serving the Libyan people.
The entire world appreciates the vital role
Italy will play in the international effort
to destroy Syria's chemical weapons.
It's an Italian port where chemicals from Syria's
stockpile will be unloaded and transferred
to U.S. ships for elimination.
And this is another example of how we work
together not just for ourselves
but for the world.
And we are all looking forward to being back
in Italy, in Milan, hosting the World -- or being part
of the World Exposition next year that
Italy is hosting.
I'm proud to announce today that the United
States will participate in the Expo.
And together with our partners, we're going
to put together an outstanding USA pavilion
that showcases American innovation
to improve agriculture and nutrition and the health
of people around the globe.
I know the Milan Expo is going to engage
and educate the world as only Italy can.
And I will tell you that I already
have some volunteers from my staff who want to go and really
make sure that the Expo goes smoothly.
(laughter) I suspect that some restaurants and
shopping may somewhere be in their agenda.
So, Mr. Prime Minister, thank you
for your friendship and your leadership.
I'm confident that together we can build
on the progress that we've already made,
and I'm even more confident that the bonds between
our two nations will continue to grow,
rooted in the enduring friendship between
our two peoples.
Molte grazie.
Prime Minister Renzi: Grazie.
Thank you so much, Mr. President.
Thank you so much also for the shopping
and the food -- it's absolutely important for our economy.
(laughter) Questions?
Okay.
From America -- okay.
TG1.
The Press: (As interpreted.) Good afternoon.
Prime Minister Renzi, you said a moment ago that you
will be -- you are committed to creating
a new Europe with less austerity and more growth,
less bureaucracy, and we have to be closer
to the people.
Now, is there an American model to be followed here?
Are you asking the U.S.
to support this effort by Italy to change,
modify the European policies in the economic field?
And what kind of Europe would you like to see
for better cooperation in the economic field and also
in the defense field, which you mentioned yesterday?
Thank you.
Prime Minister Renzi: (As interpreted.) Italy's
first effort is going to be to change Italy.
Italy doesn't have alibis any longer.
Italy mustn't think that its own problems and its
opportunities will come from the outside, from
Europe or the U.S.
We have to change ourselves.
We are a great country and we are able to change.
We have to reduce our oppressing bureaucracy.
We have to reduce, downsize our political
class and the costs.
And we have to work on our labor market,
because our international investors have to know that
this is a great place for their ideas
and their businesses to grow.
So this is why we say to Italians and to all our
fellow citizens that we shouldn't
be looking for an excuse.
Nobody is going to do this from the outside.
We have to change ourselves from within.
And, of course, if we have that credibility which
is needed, if we believe in ourselves, then Europe
is going to have to focus more on growth
and less on bureaucracy.
I think that this is how it should be.
And I spoke to Angela Merkel, François Hollande,
David Cameron about this.
We will be discussing this during
our semester of presidency.
So can the U.S.
be a model -- you asked that.
Of course.
Over the years, under the leadership
of President Obama, the United States has chosen
an ambitious course.
They have been rebuilding their economy in America.
In fact, that's a message that we've received.
We decided to call our measures "Jobs Act."
This is the same term used in the U.S., more or less,
and this is a way of helping youth have more
credibility, have more space, more room;
we have to make sure that our investors want to come.
So, of course, the U.S.
can be seen as a model.
And the important point is that Italy has
to do its homework.
In other words, Italy must finally put into practice
the structural reforms that we've been waiting
for, for the past 20 years.
And my government and our credibility over the next
four years is going to come from that.
We want to change ourselves, and clearly
we're doing it in an interconnected, global world.
We know that Europe has to think a bit more about the
future and a bit less about the past.
And the friendship and cooperation and
partnership with the U.S., therefore, are an
unrelinquishable beacon for us.
The President: Well, before I talk about the
future, let me just talk about the recent past,
because I think that Europe has taken some
important steps and they deserve credit.
As recently as a year and a half, two years ago,
we were very worried about the euro spinning
out of control.
There were enormous challenges across the board.
I think because of strong coordination within the
Eurozone, because of some smart actions by the
European Central Bank, the financial
situation has stabilized.
I also think that there were countries that were
under enormous market pressure;
borrowing rates were skyrocketing.
And because of some tough decisions, you've seen
those -- the ability of countries to borrow on the
international markets stabilizing.
All that was necessary and it was important,
and it could not have happened had it not been
for a coordinated response among a lot of European leaders.
We've also seen some movement towards banking
union, which I think is helpful.
And there are some other multilateral reforms that
are taking place that we have encouraged.
Now, having said that, what is also true is, is
that Europe's growth is still very slow and its
unemployment rate is still very high.
And nobody knows that better than Prime Minister
Renzi.
That's part of his mission, is to
reinvigorate the Italian economy.
Each country is going to have a different set of
issues that it's going to have to address because
each country has both strengths and weaknesses
in their economy.
And I think that Prime Minister Renzi has
identified some of the structural reforms that
Italy needs to engage in, in order for it to be more
competitive and more successful.
And I'm confident that he's going to be able to
move Italy forward, in part because Italy is
ready to move forward.
As far as Europe as a whole, I do think that the
old debate about growth versus austerity is a
sterile debate.
I think you need to have your public finances in
order, but you also have to grow.
And the more you grow, the easier it is to get your
public finances in order.
There are different capacities within Europe.
And I've said before, and I will repeat again,
that those countries that have substantial surpluses have
more room to help boost European-wide demand.
And that, in turn, will help countries that
are still in deficit.
That will lift Europe as a whole, and that means
that everybody is growing.
And so in my conversations with President Barroso and
Van Rompuy yesterday at the European Union,
I encouraged them to continue to identify ways
in which countries with surpluses can do more
to boost demand while still being prudent
about their public finances.
The last point I guess I would make is, in terms
of the United States and how we can be helpful,
part of it is us making sure that we're taking care
of our own issues.
It's not as if we don't have a lot of work
to do ourselves.
We've grown faster than Europe and I think
we recovered in part because we took some smart steps,
but we also have some fundamental problems
that many advanced nations face and that, in fact,
I have discussed with His Holiness, Pope Francis
this morning, and that is an increasing tendency
in the world economy for those who benefit from
globalization and technology to do better
than ever before -- those at the top; those at the
bottom or in the middle having more and more
problems, in part because perhaps their jobs have
been rendered obsolete, in part because it's very
difficult to see wages increase.
Companies feel as if they can always move if labor
makes too great a demand on wage increases or
salary increases.
And so, all of us are seeing some structural
problems in this new economy.
And that means we've got to redouble our efforts
to educate our young people; to make sure that we have
the capacity to provide skills to our workers --
if they lose their jobs they can transition
quickly; that we have a strong baseline of social
support for people if they end up transitioning
out of jobs; that we're paying more attention to opening
up opportunity for people who've been locked out,
particularly young people.
Because as I mentioned to the Prime Minister,
one of the tragedies of high youth unemployment
is that when young people don't have a strong attachment
to the labor market early, that can continue
for the rest of their careers and they never fully recoup
what's lost in terms of their potential earnings
and their ability to advance
in the labor market.
So we can't afford to have years and years of young
people who are drifting, working part-time,
not able to develop the kinds of careers and skills
that will allow them to succeed in the future.
That has to be a priority.
And I know Prime Minister Renzi is focused on it.
Jim Acosta, CNN.
The Press: Thank you very much, Mr. President.
Grazie, Mr. Prime Minister.
Mr. President, in your meeting with His Holiness,
Pope Francis, did he register any objections
with you about the contraception coverage
mandate in the Affordable Care Act or your efforts
to advance the rights of gays and lesbians
in the United States that worry so many Catholics?
And what were his concerns?
And on Russia, with reports of troops building
on the Ukrainian border, by taking the military
option off the table are you sending a signal
to Vladimir Putin that other parts of Ukraine
are his for the taking?
And why not send multinational
peacekeepers to the Ukrainian border as a deterrent?
And to you, Mr. Prime Minister,
the President said yesterday that the
U.S. would defend any NATO ally.
Are you making that same commitment when
it comes to Russia?
The President: That's a lot of questions there,
Jim.
(laughter) Do the Italian journalists, by the way,
do this -- these sort of five-part questions?
(laughter) Same thing?
Prime Minister Renzi: The same
multi Italian journalism. (laughter)
The President: All right,
let me try to remember this.
In terms of the meeting with His Holiness,
Pope Francis, we had a wide-ranging discussion.
I would say that the largest bulk of the time
was discussing two central concerns of his.
One is the issue of the poor, the marginalized,
those without opportunity, and growing inequality.
And those of us as politicians have
the task of trying to come up with policies to address
issues, but His Holiness has the capacity
to open people's eyes and make sure they're seeing that
this is an issue.
And he's discussed in the past I think
the dangers of indifference or cynicism when it comes
to our ability to reach out to those less fortunate
or those locked out of opportunity.
And then we spent a lot of time talking about
the challenges of conflict and how elusive peace
is around the world.
There was some specific focus on the Middle East
where His Holiness has a deep interest
in the Israeli-Palestinian issue, but also what's happening
in Syria, what's happening in Lebanon,
and the potential persecution of Christians.
And I reaffirmed that it is central to U.S.
foreign policy that we protect the interests
But we also touched on regions like 0:31:05.166,1193:02:47.295 of religious minorities around the world.
Latin America, where there's been tremendous progress
in many countries, but there's been
less progress in others.
I think the theme that stitched our conversation
together was a belief that in politics and in life
the quality of empathy, the ability to stand
in somebody else's shoes and to care for someone even
if they don't look like you or talk like you
or share your philosophy -- that that's critical.
It's the lack of empathy that makes
it very easy for us to plunge into wars.
It's the lack of empathy that allows
us to ignore the homeless on the streets.
And obviously central to my Christian faith
is a belief in treating others as I'd have them treat me.
And what's, I think, created so much love
and excitement for His Holiness has been that
he seems to live this, and shows
that joy continuously.
In terms of domestic issues,
the two issues that we touched on -- other than the fact that
I invited and urged him to come to the United States,
telling him that people would be overjoyed
to see him -- was immigration reform.
And as someone who came from Latin America,
I think he is very mindful of the plight
of so many immigrants who are wonderful people,
working hard, making contributions,
many of their children are U.S.
citizens, and yet they still live
in the shadows, in many cases have been deported
and are separated from families.
I described to him how I felt that there was still
an opportunity for us to make this right and
get a law passed.
And he actually did not touch in detail
on the Affordable Care Act.
In my meeting with his Secretary of State,
Cardinal Parolin, we discussed briefly
the issue of making sure that conscience and religious
freedom was observed in the context
of applying the law.
And I explained to him that most religious
organizations are entirely exempt.
Religiously affiliated hospitals or universities
or NGOs simply have to attest that they have
a religious objection, in which case they are
not required to provide contraception,
although employees of theirs who choose are able
to obtain it through the insurance company.
And I pledged to continue to dialogue with the
U.S. Conference of Bishops to make sure that
we can strike the right balance, making sure that not only
everybody has health care but families,
and women in particular, are able to enjoy the kind of health
care coverage that the AC offers,
but that religious freedom is still observed.
The Press: And on Russia --
The President: There was
a third question?
What was the third -- okay, that's right, Russia.
Okay, I remember.
I think that I've been very clear in saying that
we are going to do everything we can
to support Ukraine and the Ukrainian people.
But I think that it's also important for us not
to promise and then not be able to deliver.
There are ways for us to hopefully influence
Russian decision-making, and one of the most
important things that we can do on that front
is ensure that the Ukrainian government is stable,
that its finances are stable, and that elections go
forward as currently scheduled so that we have
a legitimate, strong, representative,
inclusive government with an economic program that
it is implementing and carrying out.
And all those things are in place, but we're going
to have to put a lot of resources and a lot
of effort -- not just the United States,
but Europe as well.
And I've been very impressed with
Prime Minister Yatsenyuk and his current efforts.
The decision to go forward with an IMF program
with a lot of resources is going to require
a lot of courage.
But keep in mind that part of what prompted
the original protests that led to the previous President
leaving was an objection about the same corrupt
practices, an economy that was completely
inefficient that had led to a situation
in which Poland's GDP had skyrocketed
and the Ukraine's had plummeted when they started off
at the same place just several years ago.
I think the Prime Minister understands that.
I think the Ukrainian people understand that.
It will require some tough decisions,
but Prime Minister Renzi is also making tough decisions;
we've had to make some tough decisions.
That's the nature of political leadership.
And I think that's what the Ukrainian people
are seeking, is a better future,
even if it requires some short-term changes
to business as usual.
Prime Minister Renzi: The question
for me is more clear and the answer is easy: Yes.
Yes, because I think the crisis in Ukraine
is a very bad situation, but the reaction
of European Union and the United States is a reaction
with one voice -- not different voice, one voice.
And for this reason I think the statement
of G7 in Brussels and the decisions
for the future are decisions very important for Italy
and we are absolutely committed in this direction.
The Press: (As interpreted.) Let me confess
that I'll probably have more than
one question myself.
I'll be quick.
President Obama, you said you're concerned with
regard to defense cuts in NATO countries,
but you said that freedom doesn't come without a cost.
But Europe is coming out of a very hard crisis,
difficult crisis, and we know that we need
austerity in many sectors, including defense.
And, in fact, there's a debate ongoing right now
in Italy on a possible reduction in the
commissioning of F-35.
So how can we reconcile the need to have fiscal
discipline and to keep military
spending under control?
Now, you spoke about the structural reforms.
Do you think that's the best
way to reinvigorate the country?
Now, to the Prime Minister -- did you talk about
the Italian Marine riflemen during your talks?
The President: When it comes to defense spending,
all of us have to make sure that our defense
forces are efficient, effective; that for every
dollar or lira that we're spending,
that we're getting the most defense for our money.
And so, in the United States, we've reduced
our defense spending as we've brought two wars
to a close.
There's a natural transition.
The kinds of spending increases that
we have seen were unsustainable.
And I recognize that in Europe --
and I discussed this with both Prime Minister Renzi as well
as President Napolitano -- there are opportunities
for greater efficiencies not only within
a country's own defenses, but also by collaborating
between European countries so that you don't have
too much duplication and excess capacity.
And, in fact, Secretary General Rasmussen
has repeatedly put forward plans for building
NATO defense capacity in ways that reduce
duplication and ensure that we are getting
the most for our money.
But, having said that, there is a certain
irreducible commitment that countries have
to make if they're serious about NATO
and the defense alliance.
And I've been very realistic I think with
my European partners: We, the United States, obviously
have the largest military in the world,
and we recognize we have
some extraordinary responsibilities.
We don't expect every country to duplicate
exactly what we do.
We have responsibilities in the Middle East.
We have responsibilities in Asia, Latin America.
We welcome those responsibilities,
and we understand that that is a particular
role that we play.
But we're also a partnership in NATO, and
we can't have a situation in which the United States
is consistently spending over 3 percent
of our GDP on defense, much of that focused on Europe,
potentially more if we end up having ongoing crises
within Europe, and Europe is spending,
let's say, 1 percent.
The gap becomes too large.
Obviously, small countries will still be having
a lot less capacity than us, but, proportionally
to their GDP, we need to make sure that everybody
is doing their fair share.
That's not just for our benefit; it's also because
Europe is going to have
its own unique defense needs.
Prime Minister Renzi spoke about the Mediterranean.
Well, conceivably, Italy is going to develop
more and more specialized capacity in addressing
particular challenges in North Africa
or in other parts of the Mediterranean.
Well, that's going to require some resources
in order to do that.
So this is not something that's going to have
to happen overnight, but there has to be a
trajectory that recognizes the need for everybody
pitching in, because, as I said yesterday,
we cannot take our freedom for granted.
Prime Minister Renzi: (As interpreted.) Yes, we did
speak about the two riflemen
who are being illegally detained in India.
And I thanked the U.S.
and the U.S.
government for the support that they've given
us in this phase of the international discussion,
and I've asked President Obama to be able
to count on further support.
We want the issue to be dealt with
at an ever more international level.
But I need to be honest with you and, therefore,
I need to say something about the questions
that you addressed to President Obama, but also
to the Italian government.
In other words, I agree, I know what President Obama
means when he says that freedom cannot
come free of charge.
And we cannot complain that there is pain and
suffering in the world unless we wish to deal
with these problems through an alliance based
on freedom and democracy, and common
and shared values.
We have to shoulder our responsibilities.
And I think that Italy always has done its share
over the years.
We know where our strengths are,
what the numbers are, but I think we've always been
highly devoted and deeply committed.
And I thanked President Obama for having
recognized yet again the strong partnership
between our countries.
I mean, when Italians have been asked to shoulder
responsibilities, they've always tried
to do it with the utmost commitment and honor.
And I think that over the coming years,
we're going to have to insist on the concept that was
just illustrated by the President -- i.e.,
we have to become specialized, especially
in certain areas.
We cannot keep saying that the EU has a role
to play and then pull back, and say, well, the U.S.
is there and they're always going to come
to support us in the end.
That's not right.
It's not fair.
We are partners and we have to work together.
I agree with President Obama.
Now, the issues -- and the President said quite
rightly -- pertaining to efficiencies and making
our system more efficient, our public administration,
we have to reduce costs there
and in the defense sector.
I mean, it's there for everyone to see.
We wish to continue cooperating and
collaborating with our partners.
And we will, therefore, keep checking our budgets
to make sure that we have the resources to intervene
all over the world.
And at the same time, we have to avoid any waste --
and we know that in some sectors
there has been waste.
The President: Do you want to go?
You get the last word.
The Press: Thank you, Mr. President and
Mr. Prime Minister.
Mr. President, I just want to follow up on Jim's
question on your meeting with the Pope today.
Do you think some of the schisms that he referenced
on social issues would stand in the way
of you and Pope Francis collaborating or forming
a strategic alliance to tackle income inequality?
And then, on Russia, you've said that there are
costs of further sanctions on the global --
that would affect the global economy.
How would U.S.
companies with interests in Russia and Americans
as a whole feel those costs?
And, Mr. Prime Minister, President Obama on this
trip has said that Europeans need to step
up when it comes to confronting Russia
and also supporting Ukraine.
But given the fragile recovery here in Italy,
can Italy really step up or does it need
to step back?
And are you concerned that Congress's failure
to approve additional IMF reforms
would prevent the U.S.
from stepping up enough?
Thank you.
The President: First of all, I just want to make
clear -- maybe it wasn't clear from my answer
to Jim -- that we actually didn't talk a whole lot
about social schisms in my conversations
with His Holiness.
In fact, that really was not
a topic of conversation.
I think His Holiness and the Vatican have been
clear about their position on a range of issues,
some of them I differ with;
most I heartily agree with.
And I don't think that His Holiness envisions
or a coalition with any political figure on any issue. 0:47:55.433,1193:02:47.295 entering into a partnership
His job is a little more elevated.
We're down on the ground dealing with the often
profane, and he is dealing with higher powers.
I do think that there is a potential convergence
between what policymakers need to be thinking about
and what he's talking about.
I think he is shining a spotlight on an area
that's going to be of increasing concern, and
that is reduced opportunities for more and
more people, particularly young people who,
by the way, have more and more access to seeing what's
out there and what's possible because they have
access to the Internet or they have access to other
media, and they see the inequality and they see
themselves being locked out in ways
that weren't true before.
And that's true internationally, not just
within countries.
And so for him to say that we need to think about
this, we need to focus on this, we need to come up
with policies that provide a good education for every
child and good nutrition for every child, and
decent shelter, and opportunity and jobs --
he is not going to get into details of it,
but he reminds us of what our moral
and ethical obligations are.
It happens also to be good at economics
and good national security policy:
Countries are more stable,
they're going to grow faster when everybody has
a chance, not just when a few have a chance.
So he's hopefully creating an environment in which
those of us who care about this are able to talk
about it more effectively.
And we are in so many ways following not just his
lead, but the teachings of Jesus Christ and other
religions that care deeply about
the "least of these."
With respect to Russia, what was your question?
You guys ask me too many questions.
I can't remember them all.
The Press: On U.S. companies
The President: Oh, U.S. companies.
This probably converges with the question
you asked Prime Minister Renzi.
We have not yet taken steps that would target
entire sectors of the Russian economy
like finance or military sales or energy.
But what we are doing in consultation with
our allies is to work through each of those sectors
and look at what kinds of sanctions potentially
could have a powerful impact.
None of them, to have a powerful impact on Russia,
are going to have zero impact on us,
because Russia is part of the world economy.
This is part of the reason why I said yesterday we're
not looking at a possible return to the Cold War.
The economies have changed,
the politics have changed.
Russia is not leading an ideological bloc that's
opposed to the world economy.
Gazprom is listed on world markets and everybody owns
a piece of everything.
So there will be some impact.
Hopefully, we can design sanctions that
minimize the impact on U.S.
companies or Italian companies, and maximize
the impact on the narrow set of interests
in Russia that help drive the decisions
that they're making.
But those are highly technical.
That's the work that's being done right now.
Even better, hopefully, we don't have to use them
because Russia decides that they should take the
wiser course and accept the offer of the
international community and the Ukrainian
government to try to resolve this in a peaceful
and lawful way.
Prime Minister Renzi: We affirm our commitment very
clear, and we stay strong and very determined
with our partners.
And so there are values in our country.
The first value is not money.
The first value is the ideal of democracy and freedom.
(As interpreted.) But let me say something in Italian.
This is a concept that I want
Italians to understand.
The Italian economy is not in any condition
to be in a crisis and to, therefore, not be able
to deal with the crisis in Ukraine.
And this is an important concept and I want
it to be crystal clear for
our Italian journalist friends.
We can be there.
We can face up to a possible energy crisis.
We have the resources with which to do that.
And we've always got to remember that we may have
high public debt but we always have private
savings, which is four times public debt, and we
have a primary surplus.
We've had this over the years at a constant level.
And our economic growth statistics don't make
us the Cinderella of Europe
and international institutions.
So we have to supersede this thinking.
And it isn't only a question of making these
economic and financial calculations.
When during the Second World War our American
friends came to fight in this country,
they didn't do it for economic reasons.
And when I was the mayor of Florence, I went every
year to the cemetery -- which is one
of the most impressive places because of the silence --
the U.S. cemetery there.
There were so many families who have lost
their young American soldiers, and they lost
their lives to defend the values and freedom in our
country, a country that perhaps they
had never even visited.
Now, I don't think that that's a question
of economic calculation or cost, you see.
And, therefore, I would ask our friends in the
Italian press to realize that the data that we are
working with in the Ukraine crisis and
in the crisis with Russia aren't only based
on economic considerations.
And this is why the relations and our
friendship with the United States of America
have trade implications.
And I think that during the European semester
of presidency, we have to come to an agreement --
hopefully, we'll manage to do this and maybe it will
come in 2015 if we don't manage to do it during
the Italian presidency -- so I was saying we come
to an agreement on the trade agreement with
the United States.
But what I'm trying to say -- and this is why
I wish to thank President Obama -- is that there
are shared values.
In just a moment, President Obama will
be making a private visit in some of the most
beautiful places in Rome, extraordinary places.
Those beautiful and extraordinary places
in Rome are -- well, if they had been created
today there would have been some bureaucrats saying, no,
we're spending too much money,
we're not creating the right thing.
Those are places of beauty, you see,
that have a huge impact of huge importance.
And those are the places that don't make our
country an economic superpower,
but a cultural superpower.
So with the same kind of commitment with which
we defend our past, we wish to build our future
together with our allies.
So I think we have to be a bit bolder,
a bit more enthusiastic.
And if you don't mind my saying this, we need
to be a bit more ambitious, because I think that today
Italy needs to start dreaming bigger than
it has up to now.
Thank you.