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Document 32012D0778
2012/778/: Council Decision of 4 December 2012 abrogating Decision 2009/587/EC on the existence of an excessive deficit in Malta
2012/778/: Council Decision of 4 December 2012 abrogating Decision 2009/587/EC on the existence of an excessive deficit in Malta
2012/778/: Council Decision of 4 December 2012 abrogating Decision 2009/587/EC on the existence of an excessive deficit in Malta
OJ L 342, 14.12.2012, p. 43–44
(BG, ES, CS, DA, DE, ET, EL, EN, FR, IT, LV, LT, HU, MT, NL, PL, PT, RO, SK, SL, FI, SV)
In force
14.12.2012 |
EN |
Official Journal of the European Union |
L 342/43 |
COUNCIL DECISION
of 4 December 2012
abrogating Decision 2009/587/EC on the existence of an excessive deficit in Malta
(2012/778/EU)
THE COUNCIL OF THE EUROPEAN UNION,
Having regard to the Treaty on the Functioning of the European Union, and in particular Article 126(12) thereof,
Having regard to the recommendation from the European Commission,
Whereas:
(1) |
On 7 July 2009, by Decision 2009/587/EC (1), following a recommendation from the Commission in accordance with Article 104(6) of the Treaty establishing the European Community (TEC), the Council decided that an excessive deficit existed in Malta. The Council noted that the general government deficit in Malta had reached 4,7 % of GDP in 2008, thus largely exceeding the 3 % of GDP reference value, while general government gross debt had been above the 60 % of GDP reference value since 2003 and stood at 64,1 % of GDP in 2008 (2). |
(2) |
Also on 7 July 2009, on the basis of a recommendation by the Commission, the Council addressed a recommendation to Malta in accordance with Article 104(7) TEC and Article 3(4) of Council Regulation (EC) No 1467/97 of 7 July 1997 on speeding up and clarifying the implementation of the excessive deficit procedure (3), with a view to bringing an end to this situation by 2010 at the latest. The recommendation was made public. |
(3) |
On 16 February 2010, on the basis of a Commission recommendation, the Council concluded that effective action had been taken in compliance with its recommendation under Article 104(7) TEC but that unexpected adverse economic events with major unfavourable consequences for government finances had occurred in Malta after the adoption of its recommendation. The Council therefore adopted a revised recommendation in accordance with Article 126(7) of the Treaty on the Functioning of the European Union (TFEU) to Malta, extending the deadline for the correction of the excessive deficit by one year, i.e. to 2011. The recommendation was made public. |
(4) |
Pursuant to Article 126(12) TFEU, a Council Decision on the existence of an excessive deficit is to be abrogated when the excessive deficit in the Member State concerned has, in the view of the Council, been corrected. |
(5) |
Pursuant to Article 4 of the Protocol on the excessive deficit procedure annexed to the TFEU, the Commission provides the data for the implementation of the procedure. As part of the application of that Protocol, Member States are to notify data on government deficits and debt and other associated variables twice a year, namely before 1 April and before 1 October, in accordance with Article 3 of Council Regulation (EC) No 479/2009 of 25 May 2009 on the application of the Protocol on the excessive deficit procedure annexed to the Treaty establishing the European Community (4). |
(6) |
When considering whether a decision on the existence of an excessive deficit should be abrogated, the Council should take a decision on the basis of notified data. Moreover, a decision on the existence of an excessive deficit should be abrogated only if the Commission forecasts indicate that the deficit will not exceed the 3 % of GDP threshold over the forecast horizon. |
(7) |
Based on data provided by the Commission (Eurostat) in accordance with Article 14 of Regulation (EC) No 479/2009 following the notification by Malta before 1 April 2012 and on the Commission services’ 2012 autumn forecast, the following conclusions are warranted:
|
(8) |
The Council recalls that, starting in 2012, which is the year following the correction of the excessive deficit, and for a period of three years, Malta should make sufficient progress towards compliance with the requirement under the debt criterion, in accordance with Article 2(1a) of Regulation (EC) No 1467/97. |
(9) |
In the view of the Council, the excessive deficit in Malta has been corrected by the 2011 deadline and Decision 2009/587/EC should therefore be abrogated, |
HAS ADOPTED THIS DECISION:
Article 1
From an overall assessment it follows that the excessive deficit situation in Malta has been corrected.
Article 2
Decision 2009/587/EC is hereby abrogated.
Article 3
This Decision is addressed to Malta.
Done at Brussels, 4 December 2012.
For the Council
The President
V. SHIARLY
(1) OJ L 202, 4.8.2009, p. 42.
(2) The general government deficit and debt for 2008 were subsequently revised to currently 4,6 % of GDP and 62,0 % of GDP respectively.