BRUSSELS (AFX) - European Commission president Romano Prodi said he is "optimistic" Germany will balance its budget by 2004. He was responding to questions about yesterday's compromise between EU finance ministers under which they did not follow the commission's recommendation to formally warn Germany about its growing budget deficit but under which Germany nevertheless agreed measures to narrow its deficit. "The commitments given by Germany "allow us to be optimistic" it will reach budget balance by 2004, Prodi said. Responding to the charge the commission overstepped the mark in recommending the warning and did not have to do so, Prodi said the commission was obliged to recommend that Germany be warned. "We are here to ensure the current law is respected... A politician cannot fly in the face of the law. That's not on," he said.