12/20/2023 4:40 am (current 12/20/2023 4:50 am)
Brunner wants “enforceable and clearly defined” rules ©APA/GEORG HOCHMUTH
EU Economy and Finance ministers aim to reach an agreement on new EU debt rules in a video conference on Wednesday, starting at 4pm. Finance Minister Magnus Brunner (ÖVP) advocates “strict, enforceable and clearly defined debt rules”. If no agreement is reached between countries and the EU Parliament by the end of the year, the previously applied rules will come into force again. These were relaxed due to the crises.
In advance, Eurogroup chief Paschal Donohoe met with Finance Minister Brunner in Vienna on Monday. Donohoe said after the conversation that we are “close to reaching an agreement” on the reform, although there is still much to do. “Excessive deficits should not be relativized or excused,” added Brunner. According to Portal, his German counterpart, Christian Lindner, traveled to Paris at short notice on Tuesday to clarify outstanding points with French Finance Minister Bruno Le Maire.
According to the proposals discussed, EU states should in future present national plans with debt reduction measures – designed for four years and, in exceptional cases, for seven years. This would give Member States more room for maneuver and time to consolidate their budgets. The Maastricht ceilings of a maximum of three percent of the budget deficit and 60 percent of total debt remain unchanged. The safety lines required by Austria and Germany, i.e. quantitative targets, are intended to ensure sufficient debt reduction.