BRUSSELS, March 21 (UPI) -- European Union finance ministers have agreed to ease the Growth and Stability Pact to help countries keep their deficits within 3 percent of national income.
The redrafting gives ministers more flexibility over the costs they can exclude when adding up their deficits, meaning Germany can exclude its reunification costs and France will leave out military and aid spending, the BBC reported Monday.
For the past three years, both countries have breached the rule that says government budget deficits should not be more than 3 percent of gross domestic product. Greece has also breached the limit, while Italy's method of reporting on its deficit has been questioned by the European Union.
There is also more leniency for newer EU members such as Poland and Hungary.
"This is not a license to run up debt," German Minister of Finance Hans Eichel told reporters.
The draft will be taken up by European leaders at a Brussels summit Tuesday and Wednesday.
