Six euro zone states risk EU budget rule breach in 2018

Page created: Wednesday, 22 November 2017 14:54 GMT

Budget  Deficit  Euro Zone

The regulations, set out under the bloc’s Stability and Growth Pact (SGP), say that EU countries should have nominal budget deficits below 3 percent of economic output and public debt below 60 percent.

For 2018, the draft assumptions of Belgium, Italy, Austria, Portugal, Slovenia and France posed a risk of not cutting the structural budget gap — which strips out business cycle swings and one-offs — fast enough, the EU’s executive said.

 “We ask (them)….to take the necessary measures… to ensure that the 2018 budget will be compliant,” Commission Vice President Valdis Dombrovskis told a news conference.