According to reports in the European media, disciplinary proceedings brought by the European Commission against the French and German governments over their failure to adhere to the 3% of GDP budget deficit ceiling for Eurozone countries have been suspended.
The EU Observer revealed that a report presented by Economic and Monetary Affairs Commissioner, Joaquin Almunia showed that the two countries are likely to be able to rein their budget deficits in next year, France as a result of increased growth levels, and Germany as a result of greater fiscal stringency.
Speaking to the news service, an unnamed source close to the EC observed that:
"There seems to be a real willingness to comply. No further steps are necessary...this is not a political decision and the Commission will continue to monitor the situation."
In November 2003, the French and German governments persuaded EU finance ministers to suspend the proceedings against them for the first time, an action which sent the EC to the European Court of Justice to reverse the decision. However, tempers have since cooled, and work is underway to increase the flexibility of the Stability and Growth Pact, which governs the Eurozone economies.
.
Network Tweets Archive
| Resources | Partners
| Site Map | Links
| Newsletter
Archive | Contact
| RSS Feeds
About | Syndication |
Advertising & Marketing |
Recruitment |
Terms & Conditions |
Privacy
Copyright © 2012 - All Rights Reserved - Tax-News.com
All content provided by BSI Media
IMPORTANT NOTICE: Tax-News.com has taken reasonable care in sourcing and presenting the information contained on this site, but accepts no responsibility for any financial or other loss or damage that may result from its use. In particular, users of the site are advised to take appropriate professional advice before committing themselves to involvement in offshore jurisdictions, offshore trusts or offshore investments.
Write a comment