Spain gets more time to correct deficit

European Commission gives Spain be given two additional years to correct its deficit

The European Commission confirmed Wednesday that it was recommending Spain be given two additional years to correct its deficit and additional flexibility for dealing with the situation in each individual year based on the targets set by Madrid.

"Spain should put an end to its current excessive deficit from here to 2016," the commission said in the recommendations it submitted to the European Union Council.

Spain must meet deficit targets of 6.5 percent of the gross domestic product (GDP) in 2013; 5.8 percent of GDP in 2014; 4.2 percent of GDP in 2015; and 2.8 percent of GDP in 2016, the European Commission said.

The Spanish government's stability plan set deficit targets of 6.3 percent of GDP for this year; 5.5 percent of GDP in 2014; 4.1 percent of GDP in 2015; and 2.7 percent of GDP in 2016.

Spain should take measures to implement the 2013 budget plans "at all levels of the state" and "be prepared to take corrective measures in case deviations occur", the commission said.