Eurozone finance chiefs discuss soaring euro

6th December 2004, Comments 0 comments

6 December 2004 , BRUSSELS - Finance ministers of the 12-nation eurozone are to meet late Monday for a monthly review of global finance as the euro pushes to new highs against a weakening dollar. "This slide must not continue, and there needs to be a better management of these rates at the international level," French Finance Minister Herve Gaymard said ahead of the eurogroup meeting. But he warned that any solution to the weakness of the dollar also needed action by "the American and Asian authorities." E

6 December 2004

BRUSSELS - Finance ministers of the 12-nation eurozone are to meet late Monday for a monthly review of global finance as the euro pushes to new highs against a weakening dollar.

"This slide must not continue, and there needs to be a better management of these rates at the international level," French Finance Minister Herve Gaymard said ahead of the eurogroup meeting.

But he warned that any solution to the weakness of the dollar also needed action by "the American and Asian authorities."

European Commission officials said they expected eurogroup finance ministers to discuss currency rates. European Central Bank president Jean-Claude Trichet is also likely to attend the meeting.

Eurogroup ministers meeting in November voiced concern at the negative impact of the weak dollar on euro-denominated exports, which makes European goods less competitive on world markets.

Ministers will also focus on the excessive deficit procedures under way against ten European Union member states which have allowed their national budgets to overshoot the eurozone ceiling of 3 percent of Gross Domestic Product (GDP).

Countries in the European Commission's firing line include: Germany, France, the Netherlands, Greece, the Czech Republic, Cyprus, Hungary, Malta, Poland and Slovakia. Of the list, only the first four EU members are also part of the eurozone.

Ministers will discuss the Commission's decision last week to start legal action against Greece for misreporting its budget deficit figures since 1997.

DPA

Subject: German news

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