MNI BRIEF: Brussels Focused On 4-Year Defence Exemption
MNI (LONDON) - Brussels is sticking with its proposal for a four-year time-limited exemption for defence spending from EU deficit and limits despite a German push for more time, a Commission spokesperson said Monday.
"The reason why is because it's incredibly important to combine fiscal leeway in a responsible fashion with fiscal discipline," Balazs Ujvari said, adding it is "the fundamental reason why we are focused on a four-year period."
Ujvari noted that if all states take advantage of its proposed 4-year exemption to boost defence spending by 1.5% of GDP it would pump €650bn into the EU economy.
Nonetheless, the Commission will keep an "open mind" and was ready to listen to any new proposals from EU states, the official said. The Commission will present its latest proposals for increasing defence spending in its White Paper on March 19.