European Commission vice-president Valdis Dombrovskis: confirmed Italy and Belgium would not be placed into ‘excessive deficit procedure’. Photograph: Francois Lenoir/Reuters

France was given an extra two years to reach its budget deficit target by Brussels yesterday, as the European Commission published its assessments (...)

Suzanne Lynch, European CorrespondentThe euro group of finance ministers has approved a list of reform measures proposed by the Greek government, pavi(...)

The Greek parliament’s president, Zoi Kostantopoulou, informs Prokopis Pavlopoulos that he has been elected president. Photograph: Pantelis Saitas/AFP/Getty Images

The European Central Bank last night granted minimal leeway to Greece’s banks, increasing the emergency funding available by €3.3 billion, well below(...)

Finance minister Yanis Varoufakis and prime minister Alexis Tsipras:  the expectation they will request a loan extension on the basis of the so-called Moscovici plan means the eurogroup,  not the European Commission, will be blamed if the plan is rejected. Photograph: Alkis Konstantinidis/Reuters

Another sorry chapter in the euro zone crisis unfolded this week in Brussels as Greece and its international creditors lurched from one meeting to ano(...)

 Greek prime minister   Alexis Tsipras: “We are working hard for an honest and mutually beneficial deal, a deal without austerity, without the bailout which has destroyed Greece in recent years.”  Photograph: Simela Pantzartzi/EPA

A breakthrough in the Greek debt impasse looked imminent last night after the Greek government indicated that it may request a temporary extension of(...)

Greek prime minister Alexis Tsipras: the potential breakthrough – still  to be endorsed by euro zone finance ministers – follows days of acrimony between the Greek government and its European creditors. Photograph: Alexandros Vlachos/EPA

Greece is expected to request an extension of its loan agreement with international creditors, bowing to days of EU pressure to negotiate some form(...)

Greek finance minister Yanis Varoufakis insinuated on Monday that the European Commission was prepared to back Greece’s demands, but was scuppered by the euro group, led by Germany.

To end one emergency euro group meeting in disarray could be regarded as a misfortune, but for two meetings to break down without agreement looks l(...)

Protesters gather in front of the parliament during an anti-austerity and pro-government demonstration in Athens on Sunday. Photograph: Yannis Behrakis/Reuters

The European Central Bank is unlikely to pull the plug on emergency funding for Greek banks this week despite a standoff between Athens and its intern(...)

EU economics commissioner Pierre Moscovici said the decline in oil price, depreciating euro and recently-launched quantitative easing programme by the ECB would provide ‘a welcome shot in the arm for the EU economy’. Photograph: Yves Herman/Reuters

The German euro-zone motor has bounced back into life, pulling the bloc’s economy behind it, after notoriously tight-fisted German consumers lifted(...)

Francois Hollande: his party’s control of the national assembly was weakened by the defection last month of one of its deputies to the far left

President François Hollande’s ruling Socialists won a hotly contested parliamentary byelection in eastern France yesterday, narrowly beating a Nationa(...)