EC asks Spain for more info on budget proposals

The European Commission on Friday asked the Spanish government of Pedro Sanchez for more information over its budget proposals, after considering there is a "risk of some deviation from the required effort," according to a letter sent to Madrid.

The Commission commented that the proposal that the Spanish government sent to Brussels "does not give a complete image of the proposed measures," according to the letter which focuses on Spain's abilities to fulfil the European Union's deficit proposals.

The Spanish budget, which still has to be approved by the Spanish Congress, proposes a 1.7 percent increase in public spending, in contrast with the 0.6 percent preferred by the European Commission.

Consequently the European Commission believes it has been given "limited information" which could lead to "a risk of some deviation from the required effort."

The Spanish government however, has defended that its proposal falls within the limits permitted by the EU with Economy Minister Nadia Calvino insisting it falls "within the margins of flexibility."

The government insists that the budget proposal contemplates a reduction of 0.9 percent of the deficit in public administration, with a primary surplus of 0.6 percent of GDP and a structural adjustment of 0.4 percent and a reduction of public debt to 1.5 percent of GDP.