Economy at heart of Spain’s EU presidency

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Spain takes over the presidency of the European Union for six month from jan.1,with ambitious recovery even as it tackles severe challenges to its economy at home.
Following sweden’s busy six month at the helm,spain has its work cut out to overcome a growing budget deficit while trying to work out a coordinated strategy among 27 EU member states to guide them out of the financial crisis.
Sweden’s presidency set a high standard for planning and organization,successfully ushering in the Lisbon reform treaty,designed to smooth decision-making in the EU.
Spain has sought to play down expectations for its tenure,with foreign Minister Miguel Angel Moratinos saying this month it would apply itself modestly and discreetly.
“Spain will not abandon its responsibilies..but we will so it with modesty,with discretion,through our work and our support,”he told a briefing in Brussels.
Political analysts say Spain’s high ambitions for its presidency could ultimately make it unfocused,while other have expressed concern about the extent of Spain’s preparations.
In a policy paper setting out its agenda,spain list four priorities,including “guaranteeing” the bloc’s economy recovery,fully apllying the Lisbon treaty which creates a permanent Eu President and a high representative for foreign affairs,and strengthening citizens’ rights.
It is the economic agenda that is most challenging,particularly the need for member states to coordinate action as they phase out policies introduced to absorb the effects of the financial and economic crisis.
“The member states have taken unprecedented fiscal measures to combat the effects of the crisis,”Spain says in the policy document(www.eu2010.es/en/),which emphasizes the need to roll back one off measure without further inflating deficits.
Yet among the countries that will struggle the most to meet targets in the EU’s stability and growth pact,which include a budget deficit of less than 3 percent of GDP,is Spain whose deficit is set to rise to 10 percent of output this year.-Reuters.