EU Finance Ministers Inch Towards Deal on New Fiscal Rules After Germany-Italy Clash
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European Union finance ministers moving closer to agreement on new fiscal rules for the bloc's debt this year after months of disagreement between Germany and Italy.
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Key development is Germany showing willingness to compromise and consider options like temporary exemptions for certain investments. Italy open to common debt reduction rule.
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EU Commission Vice President says ministers still face challenging "fiscal camino" to reach deal, referencing religious pilgrimage ending in Santiago.
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Rules suspended during pandemic, due to restart 2023. Commission wants deal this year to reinstate in January.
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Divide remains between Germany/allies wanting less flexibility, and France/Italy concerned cuts could threaten growth. Goal is balancing debt reduction and investment.