German Commissioner to the EU Wants Sanctions Applied to Spain and Portugal For Not Following the Rules

The EU commissioner hailing from Berlin wants action taken against the spendthrift governments of both Spain and Portugal. For some odd reason, both nations believed they could enact a budget without the explicit directives of Brussels. As such, Germany is calling on the EU to apply sanctions to both nations, as a form of punishment to teach them a lesson in fiscal budgeting.

According to the Lords at the Bundesbank, all EU budgets must adhere to the strictest budgeting of keeping deficits below 3% of annual GDP. If done correctly, all nations under the EU standard will get to enjoy debilitating German-styled deflation. Under the rules set forth, nations who do not tow the line can and will be fined up to 0.2% of their GDP.

“If the Commission wants to preserve its credibility on upholding budget rules, we have to approve sanctions against Spain and Portugal,” Commissioner Guenther Oettinger was quoted as telling German daily Bild. “If we give ourselves common rules, they must be kept to.”

The rebellious Portuguese leader offers a rebuttal to his German overlord, asking for some understanding of the situation he’s in.

Portuguese Prime Minister Antonio Costa, whose center-left government is reversing previous austerity measures with the support of the Communist Party and radical Left Bloc, is fighting possible sanctions.

Costa said Monday that the 2015 budget deficit, when stripped of one-off measures such as rescuing a failed Portuguese bank, came to 3.2 percent – only slightly over the limit.

“It makes no sense to sanction Portugal,” he told reporters in Lisbon. Costa has warned that penalties could knock Portugal’s recovery off track as it aims to get the deficit below the limit this year.

Germany frowns upon excuses. All nations must bend to their caprices and follow the rules, or else!