EU begins sanctions process against Spain & Portugal over breaking budget rules

‘Eurozone finance ministers have decided to start sanctions procedures against Spain and Portugal for breaching EU spending rules, reports AFP.
Both countries are accused of not making “sufficient effort” to cut their budget deficits which, according to EU fiscal rules, should be no more than three percent of GDP. The criterion was introduced ahead of the euro launch in 1999 and so far no country has been penalized for breaking them.
Sanctions could be a fine of up to 0.2 percent of a country’s GDP and the suspension of commitments or payments from EU structural funds of up to 0.5 percent.’
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