Finance ministers defend euro

Eurozone finance ministers have dismissed suggestions from Italian ministers that Italy might adopt another currency.

They rejected talk of a euro break-up as "absurd" and described suggestions that the Italian lira could be brought back as "stupidities".
Dutch finance minister Gerrit Zalm said he did not think it was a serious option for Italy to leave the eurozone.
"It would be far too costly in terms of interest rates."
"The euro is always safe, no doubt" added the Spanish finance minister Pedro Soles.
Support also came from Austrian finance minister Karl-Heinz Crasser, who described the euro as "one of the biggest successes that we have with monetary union."
Two Italian ministers, Roberto Maroni, social affairs minister and Roberto Calderoli, reform minister, both members of the eurosceptic Northern League, have mooted the possibility of adopting a different currency.
Jean-Claude Juncker, Luxembourg Prime Minister, said "if we would discuss all sorts of stupidities... we would have to add meetings to our meetings."

Budget challenge
Italy faces potential disciplinary action from the EU over its failure to comply with the European Growth and Stability Pact's target for budget deficits - that they should be no bigger than 3% of gross domestic product.
Both agree on the size of Italy's budget deficit but not on all the figures surrounding it.
"Whereas we do agree about figures, we are still discussing how to interpret the process of adjustment, mainly about 2004 compared to previous years," said Italian economy minister Domenici Siniscalco on Monday.
Italy has long been calling for an interest-rate cut and some of the other EU countries in breach of their deficit targets may seek looser financial policies.
Otmar Issing, chief economist of the European Central Bank, said on Monday that policy "did not exclude a rate cut" for the euro.
Belgian finance minister Didier Reynders said a rate cut would be a good idea.
Many of Europe's finance ministers were also thought to be looking for reforms that would help them counter recent opposition to the proposed new EU constitution.