New deadline for balanced budgets splits euro club

- Central Banking staff
- 26 Sep 2002

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FRANCE - A proposal by Brussels to allow euro-zone states more time to balance their budgets has blown up into a big row between EU countries that have been making sacrifices and four members -- France, Germany, Italy and Portugal -- that were falling further from the goal.

The mounting dispute eubusiness reported, triggered by the European Commission's surprise suggestion Tuesday that the deadline be pushed back two years to 2006, effectively ranges most smaller euro-zone economies against the

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