We need your help now

Support from readers like you keeps The Journal open.

You are visiting us because we have something you value. Independent, unbiased news that tells the truth. Advertising revenue goes some way to support our mission, but this year it has not been enough.

If you've seen value in our reporting, please contribute what you can, so we can continue to produce accurate and meaningful journalism. For everyone who needs it.

Rene Fluger Josef Horazny/Czech News Agency/PA images

Fiscal Compact will enter into force on 1 January 2013

Finland delivered its instrument of ratification yesterday.

FOLLOWING RATIFICATION FROM Finland yesterday, the Fiscal Compact will enter into force on 1 January 2013.

The agreement required ratification by 12 euro area Member States before it could become legally binding. It has now been ratified by Austria, Cyprus, Germany, Denmark, Estonia, Spain, France, Greece, Italy, Ireland, Lithuania, Latvia, Portugal, Romania, Finland and Slovenia.

The treaty, which was signed on 2 March by the leaders of 25 EU nations, introduces rules for stronger fiscal discipline and stricter surveillance within the euro area. It will bring with it a “balanced budget rule” meaning national budgets must be in balance or in surplus.

Countries have until 1 January 2014 to incorporate the balanced budget rule into their legal systems and/or constitutions.

The necessary steps to incorporate the provisions of the new treaty into the legal framework of the EU are to be taken within five years of its entry into force.

Earlier this year, Ireland held a referendum for the electorate to decide if the country should ratify the treaty. It was passed with a Yes vote of more than 60 per cent.

Translated: The Fiscal Compact rewritten in layman’s terms

Read: Referendum Commission head criticises government’s Fiscal Compact book

In full:’s coverage of the Fiscal Compact referendum

Readers like you are keeping these stories free for everyone...
A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article. Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation.

Your Voice
Readers Comments
    Submit a report
    Please help us understand how this comment violates our community guidelines.
    Thank you for the feedback
    Your feedback has been sent to our team for review.