The European Commission adopted on Tuesday a draft data-sharing deal with the U.S. for tracking terrorist finances.

This is the second time the commission has tried to broker a deal over sharing financial data with the U.S. for combating terrorism. The first attempt was rejected by the European Parliament in February on the grounds it compromised European citizens' rights to privacy.

The commission, the European Union's executive body, said that this provisional agreement contains guarantees that ensure the protection of EU citizens' data, while still enabling U.S. and EU law enforcement authorities to combat international terrorist financing. The accord "will increase the security of European citizens while at the same time fully respecting their rights to privacy and data protection," said Cecilia Malmstroem, the commissioner for home affairs.

The European Council, which is made up of ministers from all states, as well as the European Parliament still have to approve the pact before it can enter into force, the commission said.

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