New Austerity Plan in Belgium

12^th March 2012

The Belgian government decided on 11th March to implement another series of austerity measures totalling 1.82 billion euros; they are designed to limit the budgetary deficit to 2.8% of the GDP in 2012 and to respect its European commitments. "With this budget our country is one of the best pupils in Europe," said Prime Minister Elio di Rupo as he presented the agreement concluded in the night after six days of negotiations between the six parties in the ruling coalition. These measures come in support of the plan to save more than 11.3 billion euros decided on at the end of 2011 in view of re-establishing budgetary balance. They were made necessary, under pressure from the European Commission, after the official growth forecasts form 2012 were reduced to 0.1% against an original 0.8%.

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