Olli Rehn News
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The Italian Cabinet agreed today to suspend the payment of a residential property tax due in June, an unpopular levy adopted by former Prime Minister Mario Monti to help reduce the country’s budget deficit.
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Time may be running out for Alenka Bratusek, the Slovenian prime minister who is resisting a bailout as global bond markets put her on the front lines of Europe’s debt crisis.
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The French economy fell back into recession, increasing pressure on President Francois Hollande to adopt policies to revive growth.
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Slovenia is seeking to convince investors and the European Union that its overhaul plan will help fix the bank industry and make sure the nation avoids asking for a bailout.
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Slovenia is right to say it doesn’t need a bailout, German Finance Minister Wolfgang Schaeuble said as the country’s benchmark bond declined.
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Spanish politicians trying to cushion the blows of austerity plan to seize foreclosed homes to house the needy, discouraging foreign investment and threatening to violate terms of the European bailout of the country’s banks.
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France’s Finance Minister Pierre Moscovici said that his country is suffering “adjustment fatigue” as he reiterated his government’s push for policies to spur growth and fight unemployment.
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U.S. Treasury Secretary Jacob J. Lew said European policy makers are still falling short in efforts to revive their economy, intensifying pressure on them to further ease their budget-cutting.
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Global finance chiefs clashed over the correct speed of budget cutting as they sought fresh ways to rally the slowing world economy.
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Hungary is freezing some budget expenditures and is ready to take further steps, including raising Europe’s highest bank levy, to exit the European Union’s budget monitoring and remove the threat of funding cuts.
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