EU should not be fooled by calm as ' flirts with recession'

The European Commission celebrated the 20th anniversary since the most European member states agreed to adopt the euro in 1998. Economist Duncan Weldon insisted support for the commons currency "remains strong" despite prominent EU countries such as voicing dissent with the bloc's financial strategy. Experts have warned growing demands for economic integration, and the new financial policies the Italian Government is pursuing could threaten the stability of the eurozone. 

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Speaking to Euronews, the economist said: "I think in the short-term the euro is definitely out of the danger zone.

"There have been three periods of danger – there was the height of the euro crisis in 2012, there was the stand-off with Greece in 2015. This year the events in , the election of the Lega-5 Star Government.

"People bringing back memories of the clash with the Greek Government in 2015 – but although there has been some fighting over the size of the Italian budget deficit it looks like a compromise has been struck."

was engaged in a bitter dispute with Brussels after the eurosceptic coalition Government proposed a deficit goal of 2.4 percent of gross domestic product (GDP)

READ MORE: EU CRISIS: budget remains UNRESOLVED as expert warns CHAOS to 'return'

EU news - Jean Claude Juncker and Duncan WeldonEU news: Mr Weldon said the euro is "out of the danger zone" in the short term (Image: GETTY•EURONEWS)

In December, Prime Minister Giuseppe Conte said the deficit target for 2019 had been slashed to 2.04 percent of GDP from the 2.4 percent originally aimed for, sparking hopes of an end to months of conflict between and Brussels.

Mr Weldon continued: "The euro has survived and the important thing to remember is even in countries which have had really tough

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