Off the wire
• Global GDP growth to moderate to 3.3 pct in 2015: think tank  • 21 H7N9 human cases in east China's Zhejiang  • Security plan for east Lebanon to be applied: minister  • Singapore's private residential resale market continues to weaken in January  • Ukrainian army launches new offensive against rebels in east  • Think tank raises British economic growth forecasts  • UAE F-16 in Jordan bomb IS targets  • Chinese Spring Festival's gala performance staged in Poland  • Belgian prosecutor threatens arrest warrants against HSBC executives  • Russia warns against possible U.S. arms supply to Kiev  
You are here: 　 Home

EU increases transparency of member states' public finances

Xinhua, February 10, 2015 Adjust font size:

The statistical office of the European Union (EU) Eurostat on Tuesday published for the first time information on contingent liabilities and non-performing loans of member states' governments, saying the move aims to increase transparency of public finances in the EU.

According to Eurostsat, the liabilities are called "contingent" in the sense that they are by nature only potential and not actual liabilities. Non-performing loans could imply a potential loss for government if these loans were not repaid.

"This new data collection represents a step towards further transparency of public finances in the EU by giving a more comprehensive picture of EU member states' financial positions," Eurostat said in a statement.

Figures show that Germany has the highest amount contingent liabilities while the highest level of non-performing loans goes to Ireland.

However, one needs to take into account that the data only refers to liabilities without balancing them with the assets. "This aspect is very important in the case of financial institutions which normally have both significant amounts of liabilities and assets," Eurostat added. Endit