The 12 members of the euro zone have reportedly agreed on a compromise to reformulate European Union budget rules.
Apparently they have accepted a compromise presented by the French finance minister, an idea that addressed Germany’s demands for special consideration of costs associated with reunification.
All 25 euro zone finance ministers have been meeting in Brussels to hammer out a deal on reforming the EU’s budget deficit rules.
Demands for the union’s Growth and Stability Pact to be relaxed came from heavy hitters like France and Germany.
The ministers were hoping to strike an accord before a summit of EU leaders on Tuesday and Wednesday.
Both Germany and France have broken the existing rules by running budget deficits of more than three percent of GDP for more than three years in a row.
They wanted certain spending to be exempt – Berlin says reunification costs should not be included, while Paris wanted like military spending to be separate.
Other countries in the bloc, however, still disagree over exactly what mitigating factors should be taken into account when countries’ deficits are examined.