The European Commission presented a controversial proposal to check budgets before they are submitted to national parliaments. German Chancellor Angela Merkel says its a good first step, but others say it goes too far.
Deustsche Welle, 12 May 2010
The European Commission proposed that member countries submit their national budgets to Brussels for "peer review" before they are sent on to their national parliaments.
"The package concerns the whole EU, but this specific proposal has more bite concerning the euro area countries," European Economic and Monetary Affairs Commissioner Olli Rehn told reporters at a press conference in Brussels.
The rules are aimed at avoiding a repeat of the Greek debt crisis by preventing countries from over-spending. The measures would apply to all members of the EU, not just the 16 nations that use the euro currency. But many nations feel the EU is over-stepping its bounds by interfering in domestic politics. France and Sweden have both voiced their opposition to the measures.
"That this should concern all countries is something we find a little strange," Swedish Prime Minister Fredrik Reinfeldt told a press conference in Stockholm. "This kind of discussion could perhaps be possible for (countries) with a budget policy that goes against the Stability and Growth Pact," he said.
