EU Initiates Action Against Seven Nations for Budget Rule Violations
The European Union has initiated formal procedures against France, Italy, Belgium, Hungary, Malta, Poland, and Slovakia for violating budget rules. Known as excessive deficit procedures, these steps require the countries to negotiate and submit plans to correct their debt and deficit levels. Despite revisions to budget rules since the COVID-19 pandemic and energy crisis, the EU maintains strict limits on national debt and deficit levels.
The European Union has initiated formal procedures against France, Italy, Belgium, Hungary, Malta, Poland, and Slovakia for violating the bloc’s budget rules.
Known as 'excessive deficit procedures,' these steps require the countries to negotiate and submit plans to the EU to correct their debt and deficit levels.
These nations had government deficits above three percent of their GDP in 2023, with France at 5.5 percent, Italy at 7.4 percent, and Hungary at 6.7 percent.
Despite previous warnings, Romania is also under watch for not taking effective action against its excessive deficit.
The EU has been revising its budget rules since the COVID-19 pandemic and the energy crisis induced by Russia’s war on Ukraine, but maintains strict limits on national debt and deficit levels.