EU states block new rules on green finance classification

European Union states rejected on Wednesday a deal on a set of rules governing which financial products can be called "green" and "sustainable", an EU official said, in a major setback for the bloc's climate ambitions.

The deal struck last week by EU lawmakers and the Finnish presidency of the EU was blocked on Wednesday by EU diplomats at a meeting in Brussels, as several governments raised concerns on the agreement.

Talks with the European Parliament will have to resume in the coming days with the aim of finding a deal before the end of the year, the official added.