Germany confident of finding EU budget compromise - Finance Minister

FILE PHOTO: German Finance Minister and Vice-Chancellor Olaf Scholz gives a statement during the second day of the Informal Meeting of EU Ministers for Economics and Financial Affairs in Berlin, Germany September 12, 2020. Odd Andersen/Pool via REUTERS

BERLIN (Reuters) - German Finance Minister Olaf Scholz said on Friday he was confident a compromise would be found that would allow the European Union’s new budget and recovery fund to go ahead, and that the compromise would include rule of law provisions.

Hungary and Poland have vetoed the adoption of both measures, saying they object to provisions that would allow payment of European funds to be suspended to countries that fail to meet minimum legal probity standards.

Speaking at a banking conference, Scholz said that it was the task of Germany, as the holder of the EU’s rotating presidency, to find a compromise, and that he was certain one would be found.

Reporting by Thomas Escritt and Tom Sims