EU Countries Pushed to Keep Spending Amid New Lockdowns
- European Commission assesses fiscal plans amid pandemic
- Governments urged to spend wisely and on temporary basis
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The European Union’s 27 member states were urged to keep spending and support their economies through the latest wave of coronavirus restrictions without losing sight that the measures will weigh on future finances.
The European Commission, the bloc’s executive arm, said fiscal support shouldn’t be withdrawn prematurely while warning Italy and France that their stimulus should be more targeted. Given debt levels in these two countries, spending must be temporary, matched by offsetting measures and making sure that fiscal sustainability in the medium term is preserved, the commission said.