European finance ministers are preparing a blueprint for financial transaction tax on both equities and derivatives as they plan to implement it in 2016.

Germany, France and 9 other countries support the implementation of transaction tax. German Finance Minister Wolfgang Schaeuble said the taxation should be a limited to shares in the initial stage and widened to cover derivatives at a later time.

"The interests of the participating countries are so different that only a limited taxation of shares and some derivatives is possible in the first step," Schaeuble said. He noted that only a step by step approach will be effective.

At the Eurogroup meeting that concluded on Monday, Eurozone finance ministers discussed draft budgetary plans of Germany and Austria.

Eurogroup President Jeroen Dijsselbloem said more reforms are required in countries where imbalances are excessive.

According to the Commission for euro area nations, excessive imbalances existed in Italy and Slovenia. In addition, decisive policy action and a specific monitoring was warranted in France, Spain and Ireland.

The Eurogroup welcomed Portugal's clean exit from bailout program. The ministers also acknowledged the long-term comprehensive strategy for Greece growth.

It is utmost important for Greece to carry the current positive reform momentum forward in line with the memorandum of understanding, Dijsselbloem said.

RTTNews