BRUSSELS (Sputnik) - The European Commission said Wednesday it had recommended to close Excessive Deficit Procedure against France, with Spain being the only country to remain in the program.
“The Commission has also taken a number of steps under the Stability and Growth Pact. The Commission recommends that the Excessive Deficit Procedure be closed for France. This would leave only one Member State (Spain) in the corrective arm of the Pact, down from 24 countries in 2011,” the statement read.
The Stability and Growth Pact obliges the EU countries to have a budget deficit of no more than 3% of GDP. If a country violates this requirement, a procedure for compulsory reduction of the deficit may be initiated in relation to it at the supranational level in the European Union. For this purpose, an action plan is developed that can be designed for several years and include reforms and budgetary savings.
France and Spain are last two countries in the EU, that are under the hazard of the excessive deficit procedure, which can lead to sanctions and fines.
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