The finance ministers of the euro area countries have endorsed the European Commission’s view that the fiscal stance in the euro area should be “broadly neutral” in both 2025 and 2026, in a declaration adopted on Thursday 11 December.
In July, the Eurogroup estimated that in 2026, the fiscal stance at euro area level should be restrictive, excluding an increase in national spending in the defence sector (see EUROPE 13675/3).
DBPs 2026. The ministers also endorsed the EU institution’s assessment of the draft budget plans for 2026 (see EUROPE 13759/14).
They note that the draft budget plans of Croatia, Lithuania and Slovenia risk not respecting the net expenditure growth rates agreed by the EU Council. Two other draft budget plans, those of the Netherlands and Malta, are likely to fall significantly short of the rates set.
While noting differences in terms of deficit and debt levels, the Eurogroup invites these Member States to ensure, as part of their budgetary process, compliance with the requirements of the Stability and Growth Pact as revised in 2024.
See the Eurogroup statement: https://aeur.eu/f/jy7 (Original version in French by Mathieu Bion)