EU endorses Greek deficit plan

The European Commission has endorsed a Greek plan to cut its budget deficit below three percent of GDP by the end of 2012.

However, it also warned that Greece may still need to do far more to cut high public-sector wages and reduce inflation to implement the program.

Joaquin Almunia, Commissioner of Economic and Monetary Affairs, said, "We will ask the Greek authorities to adopt as soon as possible additional measures to gain again credibility about their success of the program reaching the objectives that are defined. "

European Economic and Monetary Affairs Commissioner Joaquin Almunia addresses a news conference at the EU Commission headquarters in Brussels February 3, 2010. REUTERS/Francois Lenoir