the president of the european commission questioned hungary's commitment to democratic values. orban tried to downplay the crisis. >> i sent a letter to the commission president in which i stated that the problems listed by the commission can be corrected quickly and easily. >> many parliamentarians were not convinced. >> you are headed in the same direction as men like chavez, castro, and all totalitarian governments. the positive example is havel. he always fought against communism and fought for freedom. orban did get some support from the federal conservatives. >> what counts for the members of the european people's party and the majority of this parliament is respect for freedom and democracy. mr. orban, i am sure that you will prove that you back the same values. >> pressure is mounting on orban. next week, he will hold face-to- face talks with the commission chief. the chief wants a clear sign that his message is getting through. >> we will be taking a closer look at the political shift in hungary and the eu's reaction later in the show. in italy, authorities have identi

meanwhile, he was a the president of the european commission in brussels next tuesday. >> how worried should europe be about what is happening in hungary right now? >> i think it does show a sense doesrenationalization. many states are retrenching because of the economic crisis. they're watching with interest is illegal position is for hungary. is that a sovereign state with the right to decide on its judiciary and how to make its central bank functioned independently or otherwise? or is this something -- everyone will watch with interest, either because they want to go down the same path or because they're concerned or becausehungar -- if hungary gets away with it, some other countries might go down the same path. >> aside from taking legal action, what else can the eu commission do if hungary continues to centralize power? >> it has already acted in a sense, because it suspended talks on a massive bailout because of the precarious economic situation, saying that until the independence of the hungarian central bank is a short, the discussion on giving hungary may be 50 billion -- 15

the worry is -- is a possibility we can even get legal action from the european commission. the worry is that this is anti- democratic. the hon carian point of view, -- the hungarian point of view, they desperately need money from the european union because of the state of their budgets at the moment. they're asking for money. when the european commission tries to say you cannot do this, the hungarians have to jump to it. >> the money that they need from the imf really gives the international community, if we can put it in those terms, a tool with which to put pressure on them. the imf said last week from washington that they will not do anything without eu approval. the hon gary and government -- the hungarian government has to convince the eu and somehow win back its credibility within the eu. >> it does seem as though some sort of resolution will be found. >> thank you very much for the update. >> thank you. the five remaining contenders from the republicans to face president obama have squared off in south carolina. there were repeated attacks on the favorite, mitt romne

some companies are breathing a sigh of relief, because the european commission had been considering a law that would make it difficult for some companies to attach the quality stamp made in germany on to their products. while that law was up for debate and would have required a higher percentage of the product to be made in germany in order for it to carry that label. but for now, the law is off the table. >> this washing machine is made in germany. those three words are is still a quality worldwide. as they apply, even if 90% of the individual components are produced abroad, as long as the final assembly takes place in germany. the eu is considering tougher requirements to get the seal, but berlin says the proposal is now off the table. >> i am pleased that the european commission has made it clear it is no longer thinking about changing the seal. i see this as an end to the debate on the european level. that means german companies can continue to use the made in germany label. >> but the commission says it was never tried to establish new rules for goods exported from the eu. instea

the commission of the president of the european commission has said we have 23 million companies in europe. we have 23 million people who are out of a job in europe. if each and every one of these companies were to employee a person, we would have solved the problem. i know this is too simplistic a view, but it is a start to think of it in this way as we have no really truly true mobility on the labor market among european member countries because we have not yet such a convergence of labor market reforms. we have to look at what countries have made the best experience. we have to look at those benchmarks. we have to look at the legal assistance underpinning those. for example, even though labor legislation may not be an area where there is european competence, we need to take a closer look at that. we also have to reflect where our funds that perhaps do not make the best and most effective possible use of their monies, how can we address that. how can we make better use of this. how can we perhaps set up partnering partnerships between countries that have made very good experience in cert

on those it towards your own via i do not think that was our situation of the european commission its employees that had to conduct inspections they had letters know that we could take the responsibility for greece's e.u. a session on ourselves and it was a purely preparatory mission conducted by the european commission and the national governments we had made the decision to take greece in we cannot claim without having firm proof that the information we got then was on diplomatically speaking not entirely correct raghav people might keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. for and lost cause of the commission was wrong or the handling of greece has been wrong since it ended which which is it ends in the it's pointless to talk about how things were in the past we're talking about the future you can go i hope we manage to keep greece in the

on those it towards your own via i do not think that was our situation of the european commission its employees that had to conduct inspections they had letters know that we could take the responsibility for greece's e.u. a session on ourselves and it was a purely preparatory mission conducted by the european commission and the national governments we had made the decision to take greece in we cannot claim without having firm proof that the. mation we got then was on diplomatically speaking not entirely correct various people might keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. and lots. of the commission was wrong or the handling of greece has been wrong since it ended which which is a matter kensi in the it's pointless to talk about how things were in the past we're talking about the future you can go i hope we manage to keep greece in the euro

commission but the proposal was met with strong opposition. we'll follow this story, bring more detls toughouthe day. for now, i will leave you with the latest market figures. >>> as ai said we will have the arctic much of the area pushing temperatures for tun ees in ss the 14 in kiev which than average. he once uchida joins us theeu >> they are trying to getmselves with spend. rday appears to step lator: today we have a new fiscaleaty. >> the agreeme first summitr in belgium. ries agreed compacmpose members whosexceed of gd britain republ the new. the leaderso launch aund in july earlier tha planned. >> financial stability is in of the we mustmore in particular >> thers alsoce to conclude negotiations privat todebt. could proposed b summit opened that surrender control andrity to outsi european proposal wasg opposi bring mothe ill leave you with th said

on those it towards your own via i do not think that was our situation of the european commission its employees that had to conduct inspections they had let us know that we could take the responsibility for greece's e.u. a session on ourselves but it was a purely preparatory mission conducted by the european commission the national government we had made the decision to take greece in we could not claim without having firm proof that the information we got then was on diplomatically speaking not entirely correct very much keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. for under either the commission was wrong or the handling of gray. this has been wrong since it ended which which is it ends in. it's pointless to talk about how things were in the past we're talking about the future i hope we manage to keep greece in the eurozone for that to happen

your own via i do not think that was our situation of the european commission its employees that had to conduct inspections they had let us know that we could take the responsibility for greece's e.u. a session on ourselves because it was a purely preparatory mission conducted by the european commission or not the national government we had made the decision to take greece in we could not claim without having firm proof that the information we got then was diplomatically speaking not entirely correct very much keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. unless either the commission was wrong or the handling of greece has been wrong. since it ended which which is a matter kinds in the it's pointless to talk about how things were in the past we're talking about the future i hope we manage to keep greece in the eurozone for that to happen you kno

york i do not think that was our situation of the european commission its employees that had to conduct inspections they had letters know that we could take the responsibility for greece's e.u. a session on ourselves but it was a purely preparatory mission conducted by the european commission the national governments we had made the decision to take greece in we could not claim without having firm proof that the information we got then was on diplomatically speaking not entirely correct very much keep in mind that the european parliament voted in favor of greece's membership who. most unanimously including the conservatives who are now trying to distance themselves from that decision you know sometimes in politics you don't want to believe things that he wants condoned or actually happening. and lots. of the commission was wrong or the handling of greece has been wrong since it ended which which is it ends in. the upgrade of it's pointless to talk about how things were in the past we're talking about the future i hope we manage to keep greece in the eurozone for that to happen you know

i do not think that was our situation of the european commission its employees that had to conduct an inspections they had let us know that we could take the responsibility for greece's e.u. a session on ourselves and it was a purely preparatory mission conducted by the european commission and the national governments we had made the decision to take greece in we cannot claim without having firm proof that the. the nation we got then was on diplomatically speaking not entirely correct various people might keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision you know sometimes in politics you don't want to believe things that he wants condoned or actually happening. for under either the commission was wrong or the handling of greece has been wrong since it ended which which is it ends in. it's pointless to talk about how things were in the past we're talking about the future you can go i hope we manage to keep greece in the eurozone for that to happen y

i do not think that was our situation of the european commission its employees that had to conduct an inspections they had let us know that we could take the responsibility for greece's e.u. a session on ourselves and it was a purely preparatory mission conducted by the european commission and the national governments we had made the decision to take greece in we cannot claim without having firm proof that the. mation we got then was on diplomatically speaking not entirely correct i give people my keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. for and lost cause of the commission was wrong or the handling of greece has been wrong since it ended which which is a matter kensi in the upgrade of it's pointless to talk about how things were in the past we're talking about the future you can go i hope we manage to keep greece in the eurozone for that to

i do not think that was our situation of the european commission its employees that had to conduct the inspections they had let us know that we could take the responsibility for greece's e.u. a session on ourselves but it was a purely preparatory mission conducted by the european commission not the national government we had made the decision to take greece in we could not claim without having firm proof that the information we got then was diplomatically speaking not entirely correct very much keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. under either the commission was wrong or the handling of greece has been wrong since it ended which which is it. it's pointless to talk about how things were in the past we're talking about the future i hope we manage to keep greece in the eurozone for that to happen i hope the package of aid agreements that eur

on those it towards your environment i do not think that was our situation of the european commission its employees that had to conduct inspections they had let us know that we could take the responsibility for greece's e.u. a session on ourselves but it was a purely preparatory mission conducted by the european commission the national government we had made the decision to take greece in we could not claim without having firm proof that the information we got then was on diplomatically speaking not entirely correct very much keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. for under either the commission was wrong or the handling of greece has been wrong since it ended which which is it ends in the it's pointless to talk about how things were in the past. we're talking about the future i hope we manage to keep greece in the eurozone for that to hap

it towards your invalid i do not think that was our situation of the european commission its employees that had to conduct an inspections they had let us know that we could take the responsibility for greece's e.u. a session on ourselves but it was a purely preparatory mission conducted by the european commission the national government we had made the decision to take greece in we could not claim without having firm proof that the information we got then was on diplomatically speaking not entirely correct very much keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. for unless the other the commission was wrong or the handling of greece has been wrong since it ended which which is it ends in a bogus. it's pointless to talk about how things were in the past we're talking about the future i hope we manage to keep greece in the eurozone for that to happen

i do not think that was our situation of the european commission its employees that had to conduct inspections they had let us know that we could take the responsibility for greece's e.u. a session on ourselves but it was a purely preparatory mission conducted by the european commission not the national government we had made the decision to take greece in we could not claim without having firm proof that the information we got then was diplomatically speaking not entirely correct very much keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. under either the commission was wrong or the handling of greece has been wrong since it ended which which is it ends in the it's pointless to talk about how things were in the past we're talking about the future i hope we manage to keep greece in the eurozone for that to happen i hope the package of aid agreements that euro

i do not think that was our situation of the european commission its employees that had to conduct inspections they had let us know that we could take the responsibility for greece's e.u. a session on ourselves but it was a purely preparatory mission conducted by the european commission not the national government we had made the decision to take greece in we could not claim without having firm proof that the information we got then was on diplomatically speaking not entirely correct very much keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. for unless either the commission was wrong or the handling of greece has been wrong since it ended which which is a matter kensi in. it's pointless to talk. about how things were in the past we're talking about the future i hope we manage to keep greece in the eurozone for that to happen you know i hope the package of ai

york i do not think that was our situation of the european commission its employees that had to conduct an inspections they had let us know that we could take the responsibility for greece's e.u. a session on ourselves but it was a purely preparatory mission conducted by the european commission not the national government we had made the decision to take greece in we could not claim without having firm proof that the information we got then was diplomatically speaking not entirely correct very much keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. unless either the commission was wrong or the handling of greece has been wrong since it ended which which is it ends in. it's pointless to talk about how things were in the past we're talking about the future i hope we manage to keep greece in the eurozone for that to happen i hope the package of aid agreeme

i do not think that was our situation of the european commission its employees that had to conduct the inspections they had let us know that we could take the responsibility for greece's e.u. a session on ourselves but it was a purely preparatory mission conducted by the european commission the national governments we had made the decision to take greece in we could not claim without having firm proof that the information we got then was diplomatically speaking not entirely correct very much keep in mind that the european parliament voted in favor of greece. membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. under either the commission was wrong or the handling of greece has been wrong since it ended which which is it. it's pointless to talk about how things were in the past we're talking about the future i hope we manage to keep greece in the eurozone for that to happen i hope the package of aid agreements that europea

on those it towards your own via i do not think that was our situation of the european commission its employees that had to conduct an inspections they had letters know that we could take the responsibility for greece's e.u. a session on ourselves and it was a purely preparatory mission conducted by the european commission and the national government we had made the decision to take greece in we could not claim without having firm proof that the. and we got then was on diplomatically speaking not entirely correct i give people my keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. and lots . of the commission was wrong or the handling of greece has been wrong since it ended which which is it ends in the it's pointless to talk about how things were in the past we're talking about the future you can go i hope we manage to keep greece in the eurozone for

i do not think that was our situation of the european commission its employees that had to conduct inspections they had let us know that we could take the responsibility for greece's e.u. a session on ourselves and it was a purely preparatory mission conducted by the european commission the national governments we had made the decision to take greece in we could not claim without having firm proof that the information we got then was on diplomatically speaking not entirely correct very much keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision you know sometimes in politics you don't want to believe things that he wants condoned or actually happening. for unless either the commission was wrong or the handling of greece has been wrong. since it ended which which is a matter of kinds in the it's pointless to talk about how things were in the past we're talking about the future you can go i hope we manage to keep greece in the eurozone for that to happen you know i

york i do not think that was our situation of the european commission its employees that had to conduct an inspections they had letters know that we could take the responsibility for greece's e.u. a session on ourselves and it was a purely preparatory mission conducted by the european commission and the national governments we had made the decision to take greece in we cannot claim without having firm proof that the. the nation we got then was on diplomatically speaking not entirely correct various people might keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. for unless either the commission was wrong or the handling of greece has been wrong since it ended which which is it ends in the it's pointless to talk about how things were in the past we're talking about the future you can go i hope we manage to keep greece in the eurozone for that to happen yo

on those it towards your invalid i do not think that was our situation of the european commission its employees that had to conduct inspections they had let us know that we could take the responsibility for greece's e.u. a session on ourselves but it was a purely preparatory mission conducted by the european commission the national government we had made the decision to take greece in we cannot claim without having firm proof that the information we got then was on diplomatically speaking not entirely correct a very much keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. for unless either the commission was wrong or the handling of greece has been wrong since. tented which which is it ends in. it's pointless to talk about how things were in the past we're talking about the future i hope we manage to keep greece in the eurozone for that to happen you k

i do not think that was our situation of the european commission its employees that had to conduct inspections they had letters know that we could take the responsibility for greece's e.u. a session on ourselves and it was a purely preparatory mission conducted by the european commission and the national governments we had made the decision to take greece in we cannot claim without having firm proof that the. the nation we got then was on diplomatically speaking not entirely correct various people might keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. for and lost cause of the commission was wrong or the handling of greece has been wrong since it ended which which is a matter kensi in. it's pointless to talk about how things were in the past we're talking about the future i hope we manage to keep greece in the eurozone for that to happen you know i hope the

i do not think that was our situation of the european commission its employees that had to conduct an inspections they had let us know that we could take the responsibility for greece's e.u. a session on ourselves and it was a purely preparatory mission conducted by the european commission and the national government. if we had made the decision to take greece in we could not claim without having firm proof that the information we got then was on diplomatically speaking not entirely correct various people might keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. for unless either the commission was wrong or the handling of greece has been wrong since it ended which which is it ends in. it's pointless to talk about how things were in the past we're talking about the future him don't i hope we manage to keep greece in the eurozone for that to happen you

york i do not think that was our situation of the european commission its employees that had to conduct the inspections they had let us know that we could take the responsibility for greece's e.u. a session on ourselves but it was a purely preparatory mission conducted by the european commission not the national government we had made the decision to take greece in we could not claim without having firm proof that the information we got then was diplomatically speaking not entirely correct very much keep in mind that the european parliament voted in favor of greece's membership almost unanimously including the conservatives who are now trying to distance themselves from that decision sometimes in politics you don't want to believe things that he wants condoned or actually happening. unless either the commission was wrong or the handling of greece has been wrong since it ended which which is it ends in the it's pointless to talk about how things were in the past we're talking about the future i hope we manage to keep greece in the eurozone for that to happen i hope the package of aid agr

in the spotlight is on the european commission's announcement that it is starting action against hungary over its controversial new constitution. >> the decisions we have taken today are a reflection of our determination to make sure that repealing the law are fully respected. >> so what exactly is the commission objecting to? it is concerned that the hungarian government can wield undue influence over the central bank and it fears that the independence of the country's judiciary, hundreds of judges could be forced to retire. there are also concerns that a new gated -- a new data protection authority would not be in it -- would not be independent, but subject to government control. >> i have written a letter to hungary warning against putting in danger the independence of the judiciary. unfortunately, the warnings were not listened to. >> big protests broke out in the streets of the hungarian capital budapest after the constitution came into force at the beginning of this month. now hungary could be subject to the european court of justice. but it seems to be willing to compromise before

nenext week, representatives frm the trick of th european commission, the europeans a dropping, and the intnternaonal monetary fund are due to visit athens to assess whether those conditions, which include spending cuts, are being met. greek prime minister lucas papademos has fallen trade union executives to support moves to cut labor costs, a plea they rejected. >> regarding the national collective labor agreement and the minimum wage of the low-wage workers, we say we're not willing to take a single step back. >> greece has been in recession since 2008, and the eu commission does not expect the greek economy to grow again until 2013, and even then only at a very slow pace. greece has been frozen out of the capital markets since 2010, with private investors shunning greek government bonds, athens is completely dependent on bailout funds from the eu and imf. >> the markets have not been reacting well. our correspondent has more from frankfurt. >> the systemic risk is back in full bloom and not only because of the concerns about a potential bankruptcy of greece. in spain, the government

. >> earlier this week the european commission threatened legal action against hungary unless it ensures its new constitution and accompanying laws do not violate eu treaties. >>> the hungarian government has been prickly in its response to criticism from the european commission and elsewhere. a little earlier on richard quest got the chance to sit down with the country's communication's minister. he defended his government's new constitution and also blamed the previous administration for economic difficulties across hung gary. >> reporter: hasn't the government to some extent taken its very large majority and rammed into law a whole raft of legislation that subsequent governments will find it difficult to overturn? for instance, the fiscal rule, two-thirds majority required to change tax law. it's going to make it difficult in the future? >> that doesn't set the amount. it has said that -- >> why have that anyway? why bind successes, whether it's on prosecutorial appointments, judges, fiscal laws, whatever it is? >> please don't have the worst reading of every and each legal piece we h

diplomatic sources say that the council president together with european commission's president will meet with wen jiabao in february. the leaders are expected to ask china to provide funds to the european financial stability facility. they'll also ask china to cooperate in boosting the capital of the international monetary fund. the committee members also planning to to see india before visiting china. >>> here in japan, the national budget for the fiscal year starting april is set to exceed last year's. this means a third straight year of budget increases. in a plan submitted to the diet, the government has requested a total budget of about $2.9 trillion. that is an increase of 3.9% from the current fiscal year through march. the government says the increase is due to rising social welfare expenses, stemming from an aging population, and the costs of rebuilding from the march 11 disaster. analysts fear that japan's fiscal situation, the worst among industrialized nations, will deteriorate even more. the country's debts outstanding are set to reach about $14 trillion at the end of m

when you speak about the media, the european commission made some observations and suggestions and all of these suggestions were immediately adopted in the amendments of the legislation. >> do you see their point? they are worried about the erosion of checks and balances and they see the far right party applauding what your doing. >> they are criticizing us. this is practically on all economic and political points. >> life goes on. this generation never knew of communism but it is getting to know nationalism well. the promise was that the european union would guarantee liberal social values, democracy, and prosperity. all that is no question. >> last year some momentous change in the middle east. libya, egypt, tunisia, all fell. there are disturbances between militia groups in libya. there might be some clues to be found in northern iraq. the kurds over through a despotic leader and they took to the streets. we look at what the kurds can tell us about the challenges of life after dictatorship. >> it is february, 2011 in a democratic kurdistan. when youths started throwing rocks, the re

next week, representatives from the trick of the european commission, the europeans a dropping, and the international monetary fund are due to visit athens to assess whether those conditions, which include spending cuts, are being met. greek prime minister lucas papademos has fallen trade union executives to support moves to cut labor costs, a plea they rejected. >> regarding the national collective labor agreement and the minimum wage of the low-wage workers, we say we're not willing to take a single step back. >> greece has been in recession since 2008, and the eu commission does not expect the greek economy to grow again until 2013, and even then only at a very slow pace. greece has been frozen out of the capital markets since 2010, with private investors shunning greek government bonds, athens is completely dependent on bailout funds from the eu and imf. >> the markets have not been reacting well. our correspondent has more from frankfurt. >> the systemic risk is back in full bloom and not only because of the concerns about a potential bankruptcy of greece. in spain, the government

commission. we are in brussels. they went into the sub -- the summit with a big debate over the austerity versus economic growth today resolve that argument -- economic growth. did they result that argument? >> i did not think they did. it is clear which side nicolas sarkozy was coming down on. the need for growth and competitiveness was more important than reducing the debts -- reducing deficits. if you cross the line to germany, you might get a different opinion. the push for austerity has been german-led. germany has been reluctant to give much more money to other countries in the eurozone without cast-our air and assurances -- cast-iron assurances that those countries would follow germanic-style rules. it appears that 25 of 27 countries will sign. back in december, only britain looked to be standing aside. they have now been joined by the czech republic, which has a strong streak of euro skepticism. if you take a step back from that of germany has achieved what it set out to. most all countri

the european commission said on tuesday that the law violating eu regulations designed to protect the independence of central banks. the eu will take the case to europe's highest court. the european court of justice, if the hungarian government fails to comply. jose manuel barroso said the quicker the argument is resolved the better. >> we hoped that hungarian authorities will make the changes necessary to gain the respect. this has not been the case so far. therefore, we have decided to begin proceedings. >> barroso will meet orban in brussels next tuesday to try and reach a compromise. >>> tokyo stocks are moving in a narrow range this wednesday morning as investors stay wary of europe's debt problems. the nikkei is currently trading down by just 7 points, a loss of less than 0.1%. currently at 8458. the broader topix also down 0.20% at 730. concerns that the bailout fund may hamper the euro zone's efforts to contain the credit crisis. some players are holding back from active trading ahead of the upcoming negotiations between the greek government and financial institutions. they're

the european commission is projecting gdp growth of 0.1% for the year ahead. >> in greece, the new year has started with more protest against austerity measures. this time with doctors protesting health sector reforms and cuts in the debt crisis. pharmacies across the country began a 48-hour strike. they will continue to be on duty but only deal with emergency cases until thursday keeping the government in athens wants to cut health-care spending by 50 billion euros, as part of an effort to deal with this massive debt. >> tens of thousands of demonstrators have taken to the streets of the hungarian capital of budapest to protest against the introduction of the country's new constitution. critics say it kurds democracy and freedom of the press. the governing -- curbs democracy in the freedom of the press. the governing party passed the new constitution as a result of its two-thirds majority in parliament. elsewhere in europe, there are also concerns. >> supporters say simply a " hungry." -- "hungary." they have dropped "republic of" from the name. >> orban must go, according to this head

. >> hungary's controversial prime minister is due to meet the president of the european commission later and the talks will be on whether they can qualify for a loan from the european union and imf. the country needs to consider new rules which put its central bank at risk. this is bbc world news. gulf states follow saudi arabia and pulling their monitors out of the arab league mission to syria. multimillionaire republican presidential nominee mitt romney bows to pressure, releasing his tax returns for the past two years. the spanish judge who indicted a former chilean dictator is himself going on trial. balthazatom has this report from madrid. >> they want to remember the past. crimes committed under a dictatorship should now be remembered in a democratic spain, they said. they are supporters of this man. baltasar garzon. he was on trial last week and now will go on trial again. in 2008 he started to investigate alleged crimes committed during spain's civil war and under the dictatorship of francisco franco that followed. he stands accused of breaking spain's amnesty law which was broug

commission, that's not going to be a pretty picture, is it? >> well, olly reign himself i'm sure will be, but no. it isn't. it isn't great looking down at a situation where you don't have full control in the case of the euro crisis and that it's up to individual countries to make reform for which there's often very strong opposition and this is what david cameron is going to be talking about saying within the euro zone and within europe we need to make these painful reforms in order to unleash growth. that's a long-term solution necessary. many economists would agree that it is a long-term solution. so this european crisis isn't going to go away overnight but will when these reforms are pushed through and as we've seen there's plenty of op sig to opening up those markets in a way that's going to unleash growth. >> thank you. ok let's pick up on -- sue zana's here now. it's almost as if a ghost over davevose. the weather is different and climate is different and the mood is miserable. >> and apparently it's pretty dead locked at the moment. the

two leaders plan to draft measures and submit to the european commission. the eu's executive body. >>> germany sold short term government bonds at negative yields for the first time as investors were willing to pay extra money for the safe asset. the german central bank said its auction monday of six month bonds worth 3.9 billion euros drew more buyers than expected. the average yield was minus 0.122%. a negative yield means germany can borrow money and receive modest interest from investors. germany's solid budget situation makes the country a safe haven for investors as debt worries for italy and other members show no signs of easing. >>> u.s. stocks made modest gains overnight. we go to ramin mellegard at the tokyo stock exchange. u.s. jobs numbers last week came in better than the market consensus. this week, u.s. quarterly earnings. how are stocks kicking off this tuesday there? >> very good morning to you, ai. the u.s. jobs number friday sets a bullish tone for global markets. more positive tone if you will, but as you mention, key earnings from u.s.

the european commission expressed concerns that the country's move will violate eu laws, which uphold the independence of essential bank from its government. >> so we will use all our powers to make sure that hungary come plies with the rules of the european union, and i am confident that we will achieve that. >> eu policy makers are to decide what actions it will take by tuesday next week. >>> u.s. stocks ended slightly higher following favorable bond auctions in italy and spain. for more on how stocks are trading in japan, let's go to ramin mellegard at the tokyo stock exchange. good morning. there are positive developments in the market for the tokyo open, but still some uncertainty about the u.s. economic outlook. >> a bit of a reversal, with markets fearful over developments in the eurozone. then on the other hand, we had economic data such as the weekly jobless claims and retail sales out of the u.s. just yesterday which came out a touch weaker than analysts expected. but let's look at how the markets here are reacting with the nikkei and topix this friday morning in tokyo. you

. >> the european commission has been examining the fiscal conditions of its member nations since a new eu system took effect last month. the mission allows sanctions for violations of fiscal discipline. the commission says hungary's fiscal deficit is expected to exceed 3% of its gross domestic product last year, even though it plans to stay below that level. the commission will recommend the sanction,luding withholding development funds from hungary. the sanction is expected to be proved january 4th. >>> surplus fell for a ninth straight month. the finance ministry said in a preliminary report on thursday the current account balance fell 85.5% in yen terms from a year earlier to about $1.8 billion. it was in the red for a second straight month. exports fell 3.1%, while imports were up 14.1%, that's due largely to a price hike in crude oil and natural gas. the income surplus, however, grew 13%, helping the overall account balance to stay in the positive. let's see how the numbers are affecting the markets once again. that's the latest in business. back to katherine now. >>> people in ta

commission, but the proposal was met with strong opposition. we'll follow this story, bring more details throughout the day. for now, i will leave you with the latest market figures. >>> as ai said, we will have the latest on the

the european commission is taking legal action against this and will be debated in the european parliament today. the prime minister is being accused of spreading democracy in hungary. the country is under enormous pressure at the moment because of its financial problems and it is looking to the european union for help. if it is deemed to be curbing democratic processes, then its chances -- or infringing the european union rules, then its chances of getting more help which it needs become slimmer. >> thanks very much. we will take you to japan. a freak snowfall has cut off some of the city's in an island. the wind has created a huge snow drifts as high as causes. -- as houses. in their trapped homes have been dug out but emergency crews and some train service has been disrupted. this is in the northern japanese islands. very difficult. you are watching bbc world news. four against mitt romney now in the latest debate for the presidential nomination for the republicans. britain oppose the ministry of defense will give details of the second ounce of armed forces reductions. ministry ofs defe

the two leaders plan to draft measures and submit them to the european commission. the eu's executive body. >>> investors are willing to pay extra money for safe assets. germany sold its short term government bonds at negative yields for the first time. the german central bank said its auction on monday of six month bonds worth 3.9 billion euros drew more buyers than expected. the average yield of minus 0.0122%. a negative yield means germany can borrow money and receive modest interest from investors. germany's solid budget situation makes the country a safe haven for investors as debt worries for italy and other eurozone members shows no signs of easing. european council president has welcomed the euro's decline against other currencies. he said in copenhagen on monday the weak euro will help promote the region's exports. he said the key to resolving the debt problems is to boost economic growth while boosting fiscal discipline of member nations. he said specific measures will be discussed at the eu summit to be held in three weeks. he also expressed hope the eu a