Direct from the European Commission.
NETHERLANDS TAKE 3% STANDARD
The European Commission today decided to convert. Abrogate the excessive deficit procedure (EDP) for the Netherlands
The btp Netherlands was initiated in 2009 and the deadline was extended in 2013 for one year. After the government deficit in 2009 reached a peak of 5.6% of GDP, the Netherlands brought back in 2013 to 2.5% of GDP. According to the Dutch stability program for 2014, the government deficit in 2014 will increase to 2.9% of GDP in 2015 and decline to 2.1% of GDP. According to the spring 2014 forecast by the Commission, the government deficit in 2014 and 2015 would be 2.8% and 1.8% of GDP respectively. The deficit will remain so over the forecast period, below the reference value of 3% of GDP set by the Treaty. The correction complies earlier than planned to the Council Recommendation of 2013 to finish.’s Dutch excessive deficit by 2014
The procedures for Austria, Belgium, Czech Republic, Denmark and Slovakia are terminated.
There is currently a BTP for 17 EU Member States. This means that all EU Member States except Bulgaria, Germany, Estonia, Italy, Hungary, Latvia, Lithuania, Luxembourg, Romania, Finland and Sweden under a btp fall. If the Council follows the recommendations of the Commission to terminate the btp for Austria, Belgium, Czech Republic, Denmark, the Netherlands and Slovakia, the total number of countries with BTP will drop to 11. During the spring of 2011, there was no less than 24 Member States btp. The Council of Finance Ministers of the EU will discuss the recommendations of the Commission at the meeting on 20 June in Luxembourg.
What is needed for a excessive deficit procedure to set up? stop
A decision to terminate a BTP is based on a “sustainable correction” of the excessive deficit. Such a correction is only the case if:
- the data for the previous year (in this case 2013) shows that the deficit is below 3% of GDP and
- The Commission forecasts show that the deficit during the forecast period (currently 2014 and 2015) did not exceed 3% of GDP will rise.
