Nixes

Italy’s top diplomat nixes US trip after Meloni says Trump fabricated story | Donald Trump News

The Italian prime minister has accused Trump of making up a story that she ‘begged’ him for a photo at the G7 summit in France.

A diplomatic row between United States President Donald Trump and Italian Prime Minister Giorgia Meloni has escalated, with Italy’s top diplomat cancelling an upcoming visit to the US.

At issue is Trump’s claim that Meloni “begged” him for a photograph during the Group of Seven (G7) meeting in France earlier in the week.

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“She’s probably happy I talked to her. I didn’t have to talk to her,” Trump reportedly told the Italian La7 network. The broadcaster only published a dubbed Italian version of the interview, not the original English version.

“She begged me to take a picture with her. She wanted a picture with me so badly. I wouldn’t have taken it, but I felt sorry for her.”

On Friday, Meloni posted a video answering Trump’s statement, saying that “certain things deserve an immediate response”.

“Donald Trump’s statements are completely fabricated. I am frankly stunned,” she said. “I don’t know why the president of the United States behaves this way toward his own allies. After all, this isn’t the first time this has happened.”

The head of a far-right party who campaigned on an anti-immigrant platform, Meloni had long been seen as one of Trump’s most supportive counterparts in Europe.

She had met with Trump at his Mar-a-Lago estate following his 2024 election victory and attended his inauguration in January 2025.

However, the pair have diverged during Trump’s second term over several issues, including support for Ukraine amid Russia’s invasion, the US-Israeli war with Iran, Trump’s threats to seize the Danish territory of Greenland and his criticism of Pope Leo.

In her video, Meloni said it was a “shame” Trump did not show “the same resolve toward the enemies of the West, toward the enemies of the United States” as he did in his statements against her.

She accused the US president of being “much more accommodating” to foes than allies.

“But there’s one thing he must remember: Italy and I do not beg,” she said.

Shortly after Meloni posted the video, Italian Foreign Minister Antonio Tajani said he was cancelling a weekend trip to the US, where he was scheduled to attend a business forum in Miami, Florida and meet with US Secretary of State Marco Rubio.

He called Trump’s reported statements “serious and offensive”. Several other government officials also weighed in.

Justice Minister Carlo Nordio suggested Trump’s remarks besmirched the legacy of the US soldiers who died during World War II.

“The thousands of crosses marking the graves of American soldiers who died to free us from Nazi-Fascist dictatorship did not deserve such a painful blow to our fraternal ties,” Nordio posted on X.

Defence Minister Guido Crosetto said he did not believe Meloni would ever beg for a photo, “not even under threat”.

“Jokes of this kind do no good to anyone: neither to the USA, nor to Italy, nor to the alliance,” he said.

The White House did not immediately respond to Meloni’s comments.

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Brazil Nixes Settlement for Stablecoin eFX

Resolution 561 ends stablecoin cross-border settlements, cutting fintech efficiency and margins.

Banco Central do Brasil (BCB) has banned fintech and payment providers from settling overseas payments in stablecoins or crypto. With Resolution 561, the BCB is implementing new rules regarding its electronic foreign exchange (eFX) policy, which governs how payment institutions and e-money issuers provide cross-border services. 

Its immediate effects, when the new rules go into effect on Oct. 1, will be the return of bank spreads, correspondent fees, and settlements in days rather than minutes, while the cost of international transactions, especially remittances, will increase for businesses and consumers. 

Resolution 561 updates Brazil’s eFX framework, which regulates digital cross-border payments settled through traditional foreign-exchange channels. It will restrict companies from collecting reals in Brazil, converting them into stablecoins like USDT or USDC, and then using them for fiat remittances.

The resolution does not prohibit stablecoins in Brazil, Thiago Amaral, partner at Barcellos Tucunduva Advogados, told online publication Migalhas. “What it does is prevent eFX providers from using virtual assets to settle payments or receipts with their counterparts abroad.”

Companies can still use non-resident real accounts to settle international payments, and for individuals, this will not affect their ability to trade crypto. Brazil’s crypto market is worth between $6 billion and $8 billion a month, with stablecoins accounting for roughly 90% of its volume.

Resolution 561 also mandates stricter Know Your Customer (KYC) procedures. According to BCB officials, the resolution aims to ensure traceability, supervision, and compliance with exchange rate regulations while strengthening anti-money laundering efforts.

Remittances Affected

Remittances are likely to be most affected by the changes. Cross-border payment “plumbing” helped many navigate the 1% tax on cash remittance transfers and the further 3.5% tax on remittances and foreign currency purchases, which went into effect in May 2025. In 2024, remittance inflows totaled $4.7 billion, accounting for 0.2% of Brazil’s GDP.

“With the ban on the use of stablecoins in eFX settlements, operators involved in international remittances, overseas purchases, cash withdrawals while traveling, and digital transfers to other countries lose the main advantage they had over traditional banks,” José Artur Ribeiro, CEO of Brazilian crypto exchange operator Coinext, told Brazil’s Money Times.

This article appears in the June 2026 issue of Global Finance Magazine.

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