Malta and Cyprus pass Ecofin Euro test

The Economic and Finance Ministers Council (Ecofin) formally announced the revocation of infringement procedures against Malta over excessive deficit in the wake of positive economic statistics that put Malta back within the under three per cent threshold as imposed by the Maastricht criteria.
While the European Finance Ministers revoked the excessive deficit procedures for Malta, the same was applied to Germany and Greece who have reported significant improvement to their balance sheets with an estimated 0.06 per cent further reductions to their previous expenditure deficits.
Yesterday’s Ecofin meeting in Luxembourg that was attended by Prime Minister Lawrence Gonzi and Parliamentary Secretary Tonio Fenech also approved recommendations made last month by the European Commission and the European Central Bank for Malta and Cyprus to adopt the Euro on January 1, 2008.
The definite approval for Malta and Cyprus to adopt the Euro as their national currency is expected next July 10 when a final and definite parity rate with the Cyprus Puond and the Maltese Lira will be established.
However a discussion on the recommendations will be held between the 27 European Heads of Government who are to meet in Brussels later this month.