Euro zone risks 'relapse into recession' without structural reforms: Draghi

BRUSSELS (Reuters) - The ECB's president warned divided euro zone leaders on Friday they risked "a relapse into recession" if they failed to press ahead with structural economic reforms, a message welcomed by German Chancellor Angela Merkel.

Hollande Falls Into Line as Merkel Fends Off EU Spending

German Chancellor Angela Merkel sidestepped French President Francois Hollande’s call to use stimulus measures to counter Europe’s faltering recovery, saying investments need to be carefully considered.

Italy hits resistance to softer European spending rules

(Reuters) - Italy and its allies will receive no special leeway in meeting EU budget rules, European officials agreed on Tuesday, as Germany resisted attempts to soft-pedal on long-promised spending reforms.

Renzi Says Italy to Push for European Growth Not Ask for Handout

Italian Prime Minister Matteo Renzi said his nation will use the next six months to push for growth across Europe, not to seek leeway for its own benefit.

EU can be flexible on fiscal consolidation, but reforms first: officials

(Reuters) - The European Union could be flexible about the time members need to fix their budgets if they reform to boost growth, but it must first have proof such efforts are taking place, EU policymakers said on Thursday.

Italy at risk of breaking EU rules, France squeezes through

BRUSSELS (Reuters) - Italy's draft budget plans for 2014 are at risk of breaking European Union rules, while French draft plans barely make it, the European Commission said on Friday.