EU to tighten budget rules

EU to tighten budget rules

The European Union's top economy official says the bloc is tightening its budget rules to prevent future crises.EU Commissioner Olli Rehn said he would publish recommendations next month on ways to toughen budget rules for the16-nation Euro Zone that has been roiled by the Greek economic crisis."The latest developments in the European economy in the euro area ... have clearly shown that there is an ... urgent need to reinforce economic policy coordination and ... surveillance in the euro area, in the European Union as well," he said.Rehn spoke just days after the European Union threw Athens a $40-billion lifeline in the form of low-interest loans, should it need it.But London School of Economics Professor Iain Begg says the European Union does not need new budget rules, but simply to enforce the ones it has."The rules themselves probably do not need much reform.  It is mostly in the implementation, which has been rather poor over the last four or five years before the crisis broke, with many countries too ready not to follow the prescribed rules," he said.

Cookies Preferences
Choose Type of Cookies You Accept Using


These cookies are required for the website to run and cannot be switched off. Such cookie are only set in response to actions made by you such as language, currency, login session, privacy preferences. You can set your browser to block these cookies but our site may not work then.


These cookies allow us to measure visitors traffic and see traffic sources by collecting information in data sets. They also help us understand which products and actions are more popular than others.


These cookies are usually set by our marketing and advertising partners. They may be used by them to build a profile of your interest and later show you relevant ads. If you do not allow these cookies you will not experience targeted ads for your interests.