European Commission President Mr Jose Manuel Barroso says he would accept adjustments to the EU budget rules, but not fundamental changes to core parts such as the limit on deficits, according to weekly magazine Der Spiegel.
"We can make adjustments, but we should not change the fundamental laws," Barroso said in the interview released by the German magazine today.
"The three percent (of GDP) deficit criterium also belongs to them. Such a change would go to the foundations of money union," he added. The Commission president also said budget limits could not in future be bent at the whim of individual members.
"That cannot happen. It would be a catastrophe for our economy," Spiegel quoted Mr Barroso as saying. "That we have the lowest inflation rate in European history is due to the Stability Pact, as well as the notable performance of the independent European Central Bank."
"Price stability is not only the first condition for growth, but also important for all workers. Their wages will not then be devalued by inflation," he continued.
The Stability and Growth Pact, which is designed to underpin the EU's single currency, is set for a revamp, with a number of members pressing for an easing of the rules.