Greece faced increased pressure from European Union partners to adopt new deficit-trimming measures by March, after a two-day meeting of eurozone and EU Finance ministers ended today in Brussels, dpa reported. Greece won official approval for an austerity programme that foresees a deficit reduction from 12.7 per cent of gross domestic product (GDP) in 2009 to the 3-per-cent limit recommended by the EU by 2012, with a massive 4 percentage point cut envisaged this year. In exchange, eurozone and EU ministers extracted a promise from Athens to present further belt-tightening measures by March 15, when Greece is expected to produce the first of a series of monthly reports to the European Commission on the state of its public finances. The document is expected to be examined on the same day by eurozone ministers, and approved on the following day by all 27 EU member states. According to a statement issued Tuesday, further cuts are necessary "to the extent that a number of risks, associated with the specific deficit and debt ceilings materialize." But a commission official indicated they already have, given last week's disappointing growth figures for the EU in the last quarter of 2009. "Now they have until the 15-16 March. This is a key date to present new proposals," Austria's Josef Proll stressed. The Eurogroup president, Luxembourg's Jean-Claude Juncker, confirmed Monday that more blood and tears were in sight for Athens' socialist government. "Greece will have to take additional measures", he stated, stressing that eurozone country can impose them on Athens with a qualified majority vote in the March 15-16 meetings.
