EU may warn new members because of high budget deficits

EU may warn new members because of high budget deficits

Six of the ten countries who joined the European Union last week are to be warned by European Union as their budget deficits are too high. Under EU budgetary rules, member countries are obliged to keep their deficits less than 3% of GDP (Gross Domestic Product). Poland with a deficit of 4.1%, Hungary with 5.9%, the Czech Republic with 12.9%, Slovakia with 3.6%, Cyprus with 6.3% and Malta with 9.7% are the six countries expected to receive warnings in the coming weeks. After the disciplinary procedures which will be proposed by the new economic affair commissioner Joaquin Almunia on May 12, the new member states have to be applied the budgetary rules. Czech Republic, Estonia, Cyprus, Latvia, Lithuania, Hungary, Malta, Poland, Slovenia and Slovakia that joined the EU last Saturday are scheduled to give their plans on May 15 in respect of EU rules.