04 February 2010

Greece Deficit over Four Times too High

The nerves over Greece's economic problems have really hit the currency exchange market - and there is risk that this jumpiness will spread to other European Union countries who are in trouble.

The euro has really suffered the knock - but for how much longer?

Did you know that Greece has a budget deficit over four times higher (at 12.7%) than is allowed by the EU rules? It now plans to reduce this to less than 3% by 2010 - an ambitious intention!

So ambitious, most of Brussels is in doubt that they will achieve it - but the European Commmision has vowed to support Greece (and will keep a heavy eye on them too).

After all, surely it is better that they reduce the problem than ask for a big bail out from other EU countries?

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