Finance minister Vanackere quits

Belgium’s finance minister, Steven Vanackere, is stepping down following a dispute over financial relations between a Belgian bank and a workers’ organisation linked to his political party, reports Reuters’ Robert-Jan Bartunek. The news was announced this morning by a finance ministry spokesperson. Vanackere decided to quit after a disagreement over financial arrangements between state-owned Belfius, the former retail banking arm of stricken Franco-Belgian group Dexia, and the ACW group close to his CD&V (Christian-democrat) party. “It is caused by the allegations of the past weeks, which are difficult to combine with carrying out his office,” the spokesperson said. Vanackere became finance minister in December 2011, having served as foreign minister for two years. It was not immediately clear when he would leave office, or who would take over the reins of the ministry. Belgium’s government is expected to start negotiations this month on adjusting its austerity programme. Economic growth has slowed by more than previously expected and the coalition government needs to change its economic plans if it is to reach a deficit target of 2.15% of GDP this year.