Spain and Portugal have so poor economies that they are now fined by the EU, which adds additional economic burden on the countries.
For the first time the EU has implemented sanctions against states that have illegally poor economy in the eurozone.
The Council of Ministers of the EU decided Tuesday to fine Portugal and Spain with 0.2 percent of their gross domestic product, as punishment for the states having excessive debt.
Thus a financial penalty comes on top of the crisis these two and other EU countries have, including millions of unemployed.
The EU economic and monetary union, EMU, to which the euro countries belong, does not allow government debt over 3 percent of the gross domestic product, which Portugal and Spain have broken.
They are not alone, but now EU's finance and economics ministers at their Council meeting on Tuesday adopted to implement the punishment after Article 126 (8) of the Treaty of the European Union.
It is the first time it happens. Now the two countries have ten days in which to apply for a reduction of the fine, while the European Commission has 20 days in which to execute the request from the Council of Ministers.
DON'T MISS A POST - FOLLOW US ON FACEBOOK!
Comments at Speisa are unmoderated. We do believe in free speech, but posts using foul language, as well as abusive, hateful, libelous and genocidal posts, will be deleted if seen. However, if a comment remains on the site, it in no way constitutes an endorsement by Speisa of the sentiments contained therein.comments powered by Disqus
American instructors killed in Jordan
Two Americans and a South African working to train Iraqi and Palestinian police have been shot dead by a Jordanian policeman.