The European Commission is concerned about the sustainability of public finances in 14 of the EU's 25 member states, according to a document to be approved tomorrow
"Analysis shows that, despite recent efforts to ensure the long-term sustainability of public finances, it remains an important issue in the majority of member states, notably in Belgium, Cyprus, the Czech Republic, Germany, Greece, Spain, France, Hungary, Italy, Malta, Poland, Portugal, Slovenia and Slovakia," the commission said in its report on the implementation of EU countries' fiscal programmes for 2003-2005
The commission added that "debt ratios remain high and longer-term sustainability is not yet secured in 14 of the member states in 2004"
It warned that nine countries are set to breach the stability and growth pact's deficit limit of 3 pct of GDP
"Furthermore, the limited progress in several member states to reach a sound budgetary position and/or correct an excessive deficit continues to be a source of concern," it said.
It makes you wonder just a little about what's up with this story.