European Union states decided today to close disciplinary procedures against Greece over its excessive deficit after improvements in Greece's fiscal position, confirming the country's recovery is on the right track.

EU states backed a recommendation by the European Commission to end the excessive deficit procedure.

"After many years of severe difficulties, Greece's finances are in much better shape. Today's decision is therefore welcome", Estonia's finance minister Toomas Toniste said in a statement.

The head of the group of eurozone finance ministers, Jeroen Dijsselbloem, told a Greek newspaper on Saturday that Greece would remain under supervision after it exits its current bailout programme next year, 

Greece aims to exit its €86 billion bailout, its third since its debt crisis exploded in 2010, in August next year. By then, Athens hopes to have fully returned to market financing.

Dijsselbloem is expected in Athens today to meet Greek officials, including Finance Minister Euclid Tsakalotos.

He said Greece's economy was faring better after a deep, multi-year recession but reforms should continue for the remainder of the bailout programme and after August 2018.

"The chronic and structural problems were among the crucial factors that led Greece to the crisis," Dijsselbloem said.