-
US Supreme Court rules against man whose dreadlocks were cut off in prison
-
American Michele Kang agrees deal to buy French club Lyon
-
UN to begin evacuating stranded Mideast sailors after US-Iran talks
-
French farmers suffer arid crops, heat-stricken animals
-
Tech drags down world stocks, oil dips on supply hopes
-
Scorching heat shuts Paris landmarks early as France swelters
-
Shootout traps tourists at Rio sunrise lookout
-
Ipswich hire Gary O'Neil as manager
-
Heatwave sparks health warnings across Europe
-
Lake wins Wales captaincy race ahead of Morgan
-
Hundreds of schools close as UK braces for record-breaking heatwave
-
Tech names drag down world stocks, oil dips on supply hopes
-
Starmer vows 'orderly' transition as Labour MPs mull bid to be PM
-
Reports of Dupont inclusion in France squad 'bordering on annoying' says Galthie
-
ACTIVIST SHAREHOLDER FILES SCHEDULE 13D IN EQUUS TOTAL RETURN, INC.
-
England coach McCullum denies rift with 'good friend' Stokes
-
Europe: the world's fastest-warming continent
-
Taliban officials hold EU migration talks in Brussels
-
Gennaro Gattuso returns to coaching with Lazio after Italy debacle
-
Kenya halts US Ebola facility: health minister tells court
-
Why the heat is wreaking havoc on Europe's trains
-
Zelensky to skip key Ukraine conference in Poland over WWII row
-
Seoul leads rout for tech shares as oil prices dip
-
Europe heatwave closes schools, threatens health
-
India monsoon sweeps north but brings less rain than usual
-
Germany eyes longer working lives in pension reform plan
-
UK and markets await Burnham's economic plans
-
Iran says won't allow UN inspectors at bombed nuclear sites
-
Heineken names new CEO after predecessor's shock departure
-
Banned Vondrousova insists she has 'never doped'
-
Schools plan to close as UK braces for record-breaking heatwave
-
UN chief urges AI firms to 'come clean' over environmental footprint
-
India startup head Kunal Shah appointed as new WhatsApp boss
-
More records set to fall as deadly Europe heatwave drags on
-
Israel's 'deliberate targeting' of children part of ongoing Gaza 'genocide': UN probe
-
England, Ghana eye last 32 as Portugal look for lift-off
-
Seoul's Kospi stock index tanks 10% to lead tech-fuelled Asia rout
-
Sri Lanka troops to battle deadly dengue mosquitoes as cases rise
-
Iran says to oversee Hormuz as Swiss talks conclude
-
Diaspora World Cup champions diversity over division
-
Guns, drones and doves: War reshapes Ukrainian jewellery scene
-
Australia withholds Pacific climate fund reports over risk of diplomatic 'damage'
-
Kenya police violence victims say compensation promise a 'smokescreen'
-
Indian startup head appointed as new WhatsApp boss
-
EU bets on digital euro to cut US tech addiction
-
Antetokounmpo joining Miami Heat in blockbuster: reports
-
Fineanganofo rethinks Newcastle move after All Blacks call-up
-
'Let's be realistic': Haaland cools Norway's World Cup expectations
-
Stocks fluctuate after Wall St sell-off, crude holds losses on peace talks
-
Lightning, downpour, a two-hour delay: bad weather hits the World Cup
EU gives Germany free pass over defence spending
Germany will escape EU punishment for breaking the bloc's budget rules because of a defence spending exemption, the European Commission said on Tuesday.
Germany's public deficit is expected to be above three percent in 2025, but it will not be punished because it is "fully explained by the increase in defence spending", the EU executive said.
Under the budget rules, a state's debt must not go higher than 60 percent of national output, with a public deficit of no more than three percent.
But earlier this year, Brussels allowed states to splash out up to 1.5 percent of national output on defence for four years without fear.
Germany was among 16 states including Denmark and Poland to seek exemptions.
Berlin usually calls for budgetary discipline in the European Union but with Europe facing greater threats from Russia and fears of the bloc falling further behind China and the United States, it has itself pivoted on spending.
German Chancellor Friedrich Merz this year relaxed strict debt rules and unleashed a spending blitz on infrastructure and defence in a bid to revive the eurozone's traditional powerhouse after two years of recession.
Now the commission said it expects Germany's deficit -- the shortfall between government revenue and spending -- to reach 3.1 percent this year.
While Berlin was set to escape censure, Brussels said it will formally propose opening an excessive deficit procedure for Finland because its deficit is also higher than the rules allow, and it is only "partly explained by the increase in defence spending".
The EU has already opened similar procedures against Austria, Belgium, France, Hungary, Italy, Malta, Poland, Romania and Slovakia.
Such action kickstarts a process forcing a country to negotiate a plan with Brussels to get their debt or deficit levels back on track.
Meanwhile, France is respecting the commitments it made to Brussels to reduce its high public deficit, the commission said, although it added its "assessment is surrounded by considerable uncertainty".
France is under pressure to pass a spending bill by the end of the year to rein in its deficit and soaring debt, but efforts have been hampered by a political deadlock.
W.Stewart--AT