Europe Government

  • 2016-07-27 08:33

    --EU recommends freeze of EU structural funds as of 2017

    BRUSSELS (MNI) - The European Commission recommended Wednesday to cancel fines for Spain and Portugal and set a new fiscal path, the EC said in a statement. The recommendation came following the European and Economic Affairs Council decision on July 12 that would trigger sanctions.

    The statement confirmed a Market News International exclusive report around an hour before the confirmation of the cancellation recommendation.

    The text of the statement follows:

    Following the Council decision of 12 July 2016, that Spain and Portugal did not take effective action to correct their excessive deficits, the Commission today recommends a new fiscal adjustment path for both countries.

  • 2016-07-21 02:33

    -Commissioners: Neither's 'reasoned request' adequate for close 0% sanction

    BRUSSELS (MNI) - European Commissioners are still debating how to proceed with Portugal and Spain's breach of the excessive deficit rule, after "reasoned requests" from both countries were discussed during Wednesday's College meeting, but were judged not adequate to justify a decision for sanctions close to 0%, two well placed sources told Market News.

    One source said that the Commission has told the Spanish and Portuguese governments that, legally, they still have until Friday to improve their requests, submit supplementary details and avoid heavier sanctions that, according to the rules, could go as high as 0.2% of their Gross Domestic Product.

  • 2016-07-20 04:07

    --EC Warns No Flexibility On Fiscal Implementation - Sources

    ATHENS (MNI) - The European Union will be closely monitoring Greece's implementation of required reforms over the summer, as it wants to minimize the risk for further destabilization of the Eurozone amid Brexit concerns, Portugal and Spain's pending sanctions ruling and the ongoing issues in the Italian banking sector, a high ranking Eurozone official told MNI

    Earlier this week, European Commissioner for Economic and Financial Affairs, Pierre Moscovici, warned the Greek government to implement all pending prior actions and milestones set in its third bail-out programme by the end of August.

  • 2016-07-18 11:01

    By Silvia Amaro

    LONDON (MNI) - Portugal has failed to come forward with with proposals for any additional cuts to this year's budget despite the European Commission saying that it had failed to meet its fiscal targets.

    On Monday, Portugal's socialist government outlined its arguments to the EC aimed at alleviating fears that its fiscal position was off track.

    "The Portuguese government is fully committed to the abrogation of the Excessive Deficit Procedure in 2016.

  • 2016-07-13 11:45

    WASHINGTON (MNI) - The following are the remarks Wednesday of U.S. Treasury Secretary Jack Lew prepared for a joint appearance with European Commission Vice President Valdis Dombrovskis in Brussels:

    Thank you Vice President Dombrovskis for hosting me in Brussels to continue our conversations on the period of change following the UK referendum.

  • 2016-07-13 11:12

    By Simon Marks

    BRUSSELS (MNI) - Elke Konig, the Chair of the Single Resolution Board, the EU's chief resolution authority, has said new EU bail-in rules provide for some leeway for states looking to recapitalize their banking sector.

    Her comments come as the Italian government has entered into talks with the European Commission about how to recapitalize its banking sector once stress test results uncovering capital shortfalls are revealed at the end of the month.

    "For me it's pretty clear that the BRRD and the SRM rules are a solid framework, which has been agreed upon internationally," Konig said referring to the Bank Recovery and Resolution Directive, the EU's law on how to resolve failing lenders, and the Single Resolution Mechanism, the EU system for resolving non-vi

  • 2016-07-13 10:02

    --Corrects Spelling of Desir

    PARIS (MNI) - The hiring of former European Commission President Jose Manuel Barroso by Goldman Sachs was "particularly scandalous," France's Minister for European Affairs Harlem Desir said Wednesday.

    "Morally, politically and ethically, is a mistake by Mr Barroso," Desir told lawmakers in parliament.

  • 2016-07-13 09:48

    By Jack Duffy

    PARIS (MNI) - The hiring of former European Commission President Jose Manuel Barroso by Goldman Sachs was "particularly scandalous," France's Minister for European Affairs Harlem Desire said Wednesday.

    "Morally, politically and ethically, is a mistake by Mr Barroso," Desire told lawmakers in parliament.

  • 2016-07-13 06:53

    WASHINGTON (MNI) - The following is a "readout" of the meeting Wednesday in London between U.S. Treasury Secretary Jack Lew and Chancellor of the Exchequer George Osborne:

    Secretary Lew and Chancellor Osborne discussed the period of change following the UK's vote to leave the European Union. Secretary Lew underscored the United States' commitment to maintaining the historically strong ties both with the UK and the European Union. Secretary Lew expressed his strong commitment to continue to work with the UK and other counterparts in the EU during this period, to ensure continued economic stability, and advance shared economic growth and prosperity in Europe and beyond.

  • 2016-07-13 01:45

    BRUSSELS (MNI) - Spain and Portugal may be in breach of the excessive deficit procedure but they are not identical cases and should not be reviewed as such by the European Commission, a senior EU source told MNI Tuesday.

    Speaking on the sidelines of the European Union Finance Ministers' meeting in Brussels, during which it was confirmed that Spain and Portugal were in breach of the 3% deficit rule, the official cautioned that "these two countries are politically not the same case."

    "Portugal's government intentionally scaled back on fiscal reforms when elected. It was in the pre-election promises.