EU Proposes Easing of Euro Stability Pact

Published: 27 June 2004 y., Sunday
It's been a constant source of bickering between France, Germany and the European Commission. Now in times of slow economic growth, the EU executive is calling for a looser interpretation of the Stability Pact . European Union countries that have been violating the Stability and Growth Pact in an atmosphere of weak economic growth may soon be able to breathe a sigh of relief. At its regular meeting on Thursday, the European Commission recommended that a country's economic situation should be taken into account when applying the pact, which secures the stability of Europe's common currency, the euro. "The experience of the last five years has shown that -- in certain cases at least -- the rules have perhaps been too stringent and have reduced our room for maneuver," Economic and Monetary Affairs Commissioner Joaquin Alumnia said. "That is why it is probably necessary to clarify certain definitions of the rules on the excessive deficit procedure -- we have to introduce some flexibility."
Šaltinis: dw-world.de
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