Getting to grips with the EU's new fiscal pact

The Telegraph ^ | 3/13/2012 | Louise Armitstead

[bruinbirdman]

A picture paints a thousands words. Over the course of countless summits, European leaders have strained to produce the right narrative for photographers: extravagant triple-kiss greetings, toothy grins, and wistful stares between Angela Merkel and Nicolas Sarkozy.

Click AP pic, it's worth it!!

Jean Claude Juncker, head of the group of 17 euro zone finance ministers, was snapped strangling his Spanish counterpart.

But tonight in Brussels the choreography went horribly wrong: Jean Claude Juncker, head of the group of 17 euro zone finance ministers, was snapped strangling his Spanish counterpart.

Manifestement it was all a big joke: Luis de Guindos wasn't actually throttled and Jan Kees De Jager, the Dutch finance minister looming behind him, didn't wade in with his fist either. But the grim look on Mr de Guindos' face shows it wasn't all that funny - but nor was it entirely unexpected.

Moments before, the eurogroup had approved the €130bn (£108bn) bailout package for Greece. After five months of wrangling - and just a week before Greece was due to default - the deal should have been a cause for some celebratory plate-smashing at least.

But behind the scenes, Spain had hijacked the meeting. In a tersely-worded statement, the eurogroup announced they had agreed to relax Spain's deficit target for 2012 - from 4.4pc set by Brussels last year to 5.3pc.

Spain had won some unscheduled breathing space. But what really angered Juncker was that in winningthe concession, Madrid had stirred a radical retaliation of "sinner states" against the northern pusche for austerity and central control.

All year officials from Madrid have pleaded with Brussels for permission to relax their deficit targets, arguing that Spain couldn't take any more austerity. They felt they had a strong case: Spain's economy is set to contract 1.7pc this

[headstamp 2]

Brussels moves the goalposts and kicks the can down the road a little further.

[alexander_busek]

Manifestement it was all a big joke:

Madrid had stirred a radical retaliation of "sinner states" against the northern pusche for austerity and central control.

Strange English! And I suspect that the author doesn't understand the actual meaning of the word "Putsch" (meaning "quick overthrow of a leader or government").

Somebody fire this alleged journalist!

Regards,

[bruinbirdman]

"fire this alleged journalist!"

That's about what the first ten comments at the end of the article called for.

yitbos

[Olog-hai]

Jean Claude Juncker, head of the group of 17 eurozone finance ministers

The great liar and he still has a job with that much power. Open liar, too. If the world was right-side up over there, a man like that would not have a job. But it’s not.