IMF urges EU to simplify its budgetary rules

The IMF yesterday called on the EU to simplify its budget rules to limit discretion in its application and focus on bringing down public debt.

The head of the IMF’s fiscal department, Vitor Gaspar told a seminar organised by the European Political Strategy Centre that the EU’s rules were overlapping, difficult to explain and they diverted attention from debt.

“The complexity allows for considerable discretion in the application of the rules. The track record of compliance is quite weak,” Gaspar said.