Brussels, 13/10/2008 (Agence Europe) - Although the objective not to allow deficits to increase still stands, the Stability and Growth Pact (SGP) includes the necessary flexibility elements for assessing the pubic finances of member states in light of the current crisis (EUROPE 9756). On Monday 13 October, the spokesperson for Joaquin Almunia, explained that provisions that the SGP contains on exceptional circumstances will therefore enable the Commission to apply (on sound intelligence) and adjust the deadline and regularity of corrective measures for possible excessive deficit. Without saying exactly what the impact would be on public finances of national support measures for the bank system, the spokesperson said: “We are inevitably witnessing a deterioration in public finances since tax revenue is currently going down”, sometimes sharply, “whereas at the same time, public spending remains the same or is increasing in countries where unemployment has already increased”. Although a deterioration in public finances has been borne out, what does the Berlin Agreement recommend for it to get back to balance by 2010 (or 2012)? The spokesperson said that it was too early to say: “We all know the circumstances in which this informal agreement was found: it was in a period of growth” in April 2007, she declared, hinting that in this context there could be a certain future flexibility. (A.B./transl.rh)