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The euro zone never followed its own rules in the past and will break them in the future Quartz

The euro zone never followed its own rules in the past and will break them in the future

Before the introduction of the euro as a continental currency, euro zone nations agreed in 1997 to the Stability and Growth Pact, setting limits on member countries' debt and deficits based on each nation's GDP. The agreement stipulated that the signatories keep their debt below 60% of GDP and their deficits under 3% of GDP. Some nations have met the requirements every year. Most have not. The Council for Economic and Financial Affairs, a body including finance ministers from every member nation, is the only organization permitted to sanction out of compliance nations. It has never done so.