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deficit

Spains productivity

In Europe 8th May 2019

Spain will exit from excessive deficit procedure in June

European Economics Commissioner Pierre Moscovici confirmed on Wednesday that the European Commission will recommend that Spain exit the Excessive Deficit Mechanism in June. He did not specify exactly when the recommendation will be published, but indicated that it will be included in the Commission´s Spring Package, due to be published early next month. Technically the decision must be ratified by the member states of the Union, but this is seen as a formality.

The EC takes the first step towards Italy's ‘excessive deficit procedure’

In Europe 22nd November 2018

European Commission Takes The First Step Towards Italy’s ‘Excessive Deficit Procedure’

The EC found yesterday  that Italy is in breach of the European Union’s debt criterion, with a debt/GDP ratio of 131.2% for 2017, significantly above the EU’s threshold of 60%. According to the firm Julius Baer, it is obviou the 60% target introduced in the Maastricht Treaty in the early 1990s cannot be binding anymore, given the elevated debt levels across European countries.

The EC rejects Italy's budgetary plans

In Europe 24th October 2018

The EC And Italy’s Game Of Chicken: Draft Budget Dismissed. Next Step To Fine The Country ?

“The narrative of expected compromises, a watering down of stances and the serving of another “Brussel’s fudge” seems to have become less convincing after the EU rejected the Italian budget proposal in an unprecedented move,” says analysts at Monex Europe regarding the rejection of Italy’s budgetary plans. In fact, for the first time in the history of the EU, the European Commission has rejected a draft budget proposal of a member country, while sounds from the Italian camp have an equally confrontational ring to it.

Spain importing so much again

Spanish economy 4th September 2018

Is Spain Importing So Much Again? (I)

Caixabank Research | Since the beginning of 2012 Spain has accumulated a trade surplus in goods and services which is helping reducing the large deficit in net international investment. But it has not always been like this.

 

Italy's economy entering a crucial period in its Euro membership

In Europe 14th May 2018

The ‘antiestablishment’ pact in Italy augurs a rise in the country’s public deficit

Paula Sampedro (Link Securities) |There are various fronts open on the political front during this week. Specifically, the Italian political parties La Liga (extreme rightwing) and the Movimiento Cinco Estrellas (anti-establishment) are expected to present their programme for government to the country’s president Sergio Mattarella, after reaching an agreement to form a new government in Italy.

 

France

In Europe 29th March 2018

Budget Balance In France And The ‘Funding Pot’

Robust economic growth in France in 2017, coming in at 2%, helps ease the restrictions on public finances. The other point worth noting is that the government must use surplus income, or what is known in France as the ‘funding pot’, to rebalance public finance rather than embark on fresh spending measures if it really wants to prove its commitment on public finances.