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

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

The commission 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 agreement "will increase the security of European citizens while at the same time fully respecting their rights to privacy and data protection", said Cecilia Malmstroem, Commissioner for Home Affairs.

The European Council, comprising ministers from all 27 member state as well as the European Parliament will still have to approve the agreement before it can enter into force, the commission said.

The new agreement is a "substantial improvement" in comparison to the agreement rejected by the parliament, Malmstroem added.

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