Gross Domestic Product

EU refrains from immediate fine against Spain over budget

The European Union refrained Wednesday from imposing immediate fines on Spain and some other member states despite their failure to meet budget targets, opting instead to give them additional leeway to get back on track.

The EU's executive had been expected to impose sanctions on Spain for not meeting EU-prescribed limits for a fourth year running. Action against Portugal had also been expected.

Instead, the European Commission said it "will come back to the situation" in July.

The EU wants countries to keep their budget deficits below 3 percent of their annual GDP and has set targets for those not meeting the limit on how to get there. One of the reasons...