3 | July 21, 2020 EU Monitor Lagarde who said that “the EU steps up and comes together to help the people of Europe.”4 Our main takeaways In a press conference on Tuesday morning, President Michel presented the hard won results. On 27 May 2020, in response to the unprecedented crisis caused by the coronavirus, the European Commission proposed the temporary recovery instrument NextGenerationEU of €750 billion, as well as targeted reinforcements to the long-term EU budget for 2021-2027. "The 25 EU member states could set up the recovery fund in accordance with this model, and even integrate the European Commission," Thiele says. The grand EU budget deal reached by the European Council on 21 July 2020, which includes a one-time €750 billion recovery fund named ‘Next Generation EU’ (NGEU), is unprecedented. Just throwing money around is never a solution. MEPs called on 15 May for a €2 trillion fund, built into the EU’s next long-term budget, which puts Europeans at the heart of the Covid-19 recovery. Find open and upcoming calls for funding proposals, get background information on funding processes and programmes, and apply online. EU leaders consider new proposal in bid to break deadlock on coronavirus recovery fund. It is a new initiative that continues and extends the crisis response and crisis repair measures delivered through the. Negotiators for the European Parliament and the Council of the EU reached the preliminary deal on the €672.5 billion Recovery and Resilience Facility (RRF) in a final push that began Thursday morning. For the Commission to start borrowing under NextGenerationEU, thus making the instrument operational, the ratification of the new Own Resources Decision by all Member States in line with their constitutional requirements is still needed. The Commission’s plan for the recovery fund was introduced during the plenary session in May together with a revised proposal for the EU's 2021-2027 budget amounting to €1.1 trillion. … On Wednesday 27 May, the European Commission was the third to present a plan for the EU recovery fund in less than a week. Poland and Hungary agreed to the deal in July but later vetoed it, fearing the new “rule of law mechanism” might target them for possible breaches of Europe’s democratic standards. Parliament is insisting that climate action is at the core of the post-pandemic recovery. Must Read . EU heads of state or government reached a political agreement on the package. EU €750 billion Covid recovery fund comes with green conditions Published on 27/05/2020, 2:37pm. Guntram Wolff is Director of Bruegel and a member of the French prime minister’s Conseil d’Analyse Economique. EU recovery fund and budget negotiations aren't over yet. The commission said it expects the whole 750 billion-euro recovery effort agreed by EU leaders to deliver a … A new 2021-2027 Multiannual Financial Framework (MFF) amounting to € 1,074.3 billion was agreed by EU-27 leaders, with a 750 billion Recovery Fund on top. EU Recovery Fund to Provide a Boost to EU Growth. in.gr. The … A total of €1.8 trillion will help rebuild a post-COVID-19 Europe. EUR 750 bn EU Recovery Fund: Deal! EU strikes deal on $2.21 trillion seven-year budget and recovery package considered vital for many European … The €672.5 billion facility is at the heart of the EU's extraordinary recovery effort, Next Generation EU (NGEU): the €750 billion plan agreed by EU leaders in July 2020. An ambitious EU long-term budget will be crucial to rebooting the economy and creating a green, digital and resilient Europe after Covid-19. The Dutch Prime Minister Mark Rutte even demanded the right of a single member state to veto the disbursement of the money. EUR, der skal bidrage til opbygningen af et grønnere, mere digitalt og mere modstandsdygtigt Europa), (EU-Haushalt: Europäische Kommission begrüßt Einigung über ein Paket von 1,8 Billionen EUR zum Aufbau eines grüneren, digitaleren und widerstandsfähigeren Europa), (ELi eelarve: Euroopa Komisjon tunneb heameelt kokkulepe üle, millega eraldatakse 1,8 triljonit eurot keskkonnahoidlikuma, digitaalsema ja vastupanuvõimelisema Euroopa ülesehitamiseks), (Προϋπολογισμός της ΕΕ: Η Ευρωπαϊκή Επιτροπή χαιρετίζει τη σύναψη συμφωνίας σχετικά με δέσμη ύψους 1,8 τρισ. The EU’s recovery fund proposals: crisis relief with massive redistribution. Paying it back will be even harder. cohesion, agriculture, Erasmus, Horizon Europe, etc). The EU recovery fund should be at the heart of this, and actions in 2021 will matter enormously for the recovery in years to come. On April 23, 2020, the European Council mandated the European Commission to work on a European Recovery Fund and to clarify its possible link with the Multiannual Financial Framework (MFF), the EU’s long-term budget. Spain to channel EU recovery fund money to public-private partnerships, slashes bars’ rent The Spanish government announced a system of public-private partnerships, open to all companies, to channel the EU funds into the economy. The Commission relies on the commitment of Member States to proceed as quickly as possible, in the interest of all EU citizens. News EU breaks deadlock on budget, coronavirus recovery fund. Businesses, workers, NGOs across Europe are demanding the rapid release of money from both the EU budget and the Recovery Fund. The EU has proposed a mechanism linking the bloc’s €1.8 trillion budget, which includes a €750bn coronavirus recovery package, to its members' respect of the rule of law. THE EU's recovery fund will face severe delays unless Brussels adopts a rarely used 'eurozone stabilisation procedure', a political commentator has claimed. Fri 18 Dec, 2020 - 11:29 AM ET. That means the matter could go all the way to EU leaders — but it does not say that they would be able to block any penalties. European Union countries whose economies have been battered by the coronavirus pandemic are impatiently waiting to get their hands on the recovery fund, sanctioned by the EU. As the new EU wide funding means lower downside risks to the CEE key export market and higher odds of a synchronised EU recovery, this … 1. EU Recovery Fund Is a Step Towards a More Resilient Eurozone. MEP Guy Verhofstadt wants the European Parliament to now deal with the shortcomings of the EU recovery deal (Photo: European Parliament) By Guy Verhofstadt. They also stressed that the package should be focussed on people’s needs. More than 50% of the amount will support modernisation, for example through: In addition, the package pays attention to, All amounts in € billion, in constant 2018 prices. contributions from the Member States based on value added tax (VAT), contributions based on gross national income (GNI). On 10 December 2020, EU Member States in the European Council agreed to finalise the adoption of the MFF Regulation and the Own Resources Decision, at the level of the Council. EU leaders have resolved a bitter dispute with Poland and Hungary to salvage the bloc's landmark coronavirus recovery plan, but argued overnight and into this morning on fighting climate change. The coronavirus outbreak is testing the EU in ways that would have been unthinkable only months ago. GREEN BOOST. Guntram Wolff Director of Bruegel. … The text also stipulates that the mechanism only applies to the 2021-2027 EU budget and recovery fund, and that "the European Council will strive to formulate a common position" should a country facing penalties request a discussion of its case. The European Commission is expected to table proposals on the recovery fund shortly, but there are already deep divisions on, for example, whether countries should be given loans or grants. The EU’s long-term budget, coupled with NextGenerationEU, the temporary instrument designed to boost the recovery, will be the largest stimulus package ever financed through the EU budget. To help repair the economic and social damage caused by the coronavirus pandemic, the European Commission, the European Parliament and EU leaders have agreed on a recovery plan that will lead the way out of the crisis and lay the foundations for a modern and more sustainable Europe. Source: European Commission. The package will be … The European Commission will move to launch the EU’s proposed €750 billion recovery fund without Hungary and Poland if there’s no breakthrough in the budget deadlock at next week’s European Council, Commission President Ursula von der Leyen told European Parliament President David Sassoli on Wednesday, according to two Parliament officials. On 18 December 2020, the Council and the Parliament reached a provisional agreement on the Recovery and Resilience Facility (RRF). EU recovery fund and budget negotiations aren't over yet. A quarter of spending has been earmarked for climate action and a ‘do no harm’ clause rules out environmentally damaging investments . Updated / Tuesday, 21 Jul 2020 19:25 The EU summit produced a Covid recovery fund and a €1.8 trillion budget package They also wanted to impose stricter conditions on the member states receiving the funding. NextGenerationEU is a €750 billion temporary recovery instrument to help repair the immediate economic and social damage brought about by the coronavirus pandemic. The Commission proposed the Facility on 27 May 2020 as the centrepiece of NextGenerationEU, a temporary recovery instrument that allows the Commission to raise funds to help repair the immediate economic and social damage brought about by the coronavirus pandemic. EU recovery fund: Frugal Five not as frugal anymore Thursday, 26 November 2020 The leaders of the Frugal 5 at the European Council: Mark Rutte (The Netherlands), Sebastian Kurz (Austria), Sanna Marin (Finland), Stefan Löfven (Sweden) and Mette Frederiksen (Denmark), credit: EU The new long-term budget will increase flexibility mechanisms to guarantee it has the capacity to address unforeseen needs. That followed a frenzy of meetings this week, including an … To ensure democratic scrutiny and accountability, members insisted on safeguarding Parliament’s role. Leaders have agreed to pass the new budget and coronavirus recovery fund, including holdouts Hungary and Poland. In its resolution adopted on 15 May, Parliament called for a €2 trillion recovery package to address the impact of the coronavirus. It is not so much the size and imminent economic impact that is so consequential but rather the symbolism for European solidarity. According to the EU Recovery Fund, Italy should receive € 209 billion over the next six years, of which about 81 is for grants and 128 for loans to be repaid with interest. Learn about the tendering process and opportunities for doing business with the European Commission. The European recovery, it is said, was a harshly uneven one. EU27 leaders agreed on: — EUR 750 bn recovery fund. And yet this divisiveness has been baked into the EU recovery fund, complete with country allocations drawn up even before we know the effects of the recession on each region. It is a budget fit not only for today's realities but also for tomorrow's uncertainties. On 21 July 2020, EU heads of state or government reached a political agreement on the package. Between 2018 and the beginning of 2020, the Commission worked hand in hand with the rotating Presidencies of the Council, and in close collaboration with the European Parliament, to take the negotiations forward. Watch the full interview with budget committee chair Johan Van Overtveldt. The EU long-term budget will continue to be financed through the well-known revenue sources of the EU budget: In addition, as of 1 January 2021, a new national contribution based on non-recycled plastic packaging waste will be introduced as a source of revenue of the EU budget. The largest stimulus package ever The need for a significant stimulus to reboot the EU economy comes at a time when voices calling for increased green investment are also on the rise. MEPs reiterated that this fund must be added on top of the EU long-term budget and not be to the detriment of existing and future EU programmes. The 1.82 trillion-euro ($2.21 trillion) seven-year budget and recovery package is considered vital for many European countries whose economies have … By James Frater , CNN Business. Jul, 12:00. Negotiations on the MFF for the period 2021-2027 were at an advanced state when the coronavirus-induced economic crisis hit the EU. 1 of 14. What will the mood of investors and consumers be?”, Since the outset, the EU has been mobilising all means available to help member states reinforce their health sectors and mitigate the socio-economic impact of the virus. Share. 22 Δεκεμβρίου 2020, 23:21 . The European Union managed to overcome fierce disputes with Poland, Hungary and some other member countries on the conditions for using green recovery funds. Poorer European Union countries and those hardest hit economically by the COVID-19 crisis could obtain up to 15% of their GNI in grants and guarantees from the EU’s proposed recovery instruments. Ahead of a vote on plans to revise the post-2020 EU budget, the chair of Parliament’s budget committee Johan Van Overtveldt warned the economic recovery would be “slow and gradual” and that the prediction of a 7.5% decline in economic activity this year is a “mild forecast”. It would be financed through joint long-term debt issued by the EC on behalf of … By LORNE COOK and RAF CASERT December 10, 2020 GMT. That’s the only relevant issue.”. Regulation Risk Mitigation. Fitch Ratings-London-23 July 2020: The EUR750 billion recovery fund agreed by EU leaders is net supportive for EU sovereign ratings, Fitch Ratings says. Posted: Dec 10, 2020 / 07:28 AM EST / Updated: Dec 10, 2020 / 07:28 AM EST. ευρώ, για την οικοδόμηση μιας πιο πράσινης, πιο ψηφιακής και πιο ανθεκτικής Ευρώπης), (Budget de l'UE: la Commission européenne salue l'accord conclu sur une enveloppe de 1 800 milliards € pour bâtir une Europe plus verte, plus numérique et plus résiliente), (Proračun EU-a: Europska komisija pozdravlja dogovor o paketu od 1,8 bilijuna eura za pomoć u izgradnji zelenije, digitalnije i otpornije Europe), (Bilancio dell'UE: la Commissione europea accoglie con favore l'accordo su un pacchetto di 1800 miliardi di € per contribuire a costruire un'Europa più verde, digitale e resiliente), (ES budžets: Eiropas Komisija atzinīgi vērtē vienošanos par 1,8 triljonu eiro paketi, kas palīdzēs veidot zaļāku, digitālāku un noturīgāku Eiropu), (ES biudžetas. On 10 November 2020, the European Parliament and the Council reached an agreement on the package. A 500bn recovery fund – 3.6% of GDP - that should solely be based on grants. Fitch will consider the European Commission's borrowing to fund NGEU grants as debt of the EU as a supranational entity. Source: Conclusions of the European Council of 21 July 2020. Fitch will treat the NGEU grants as budget-neutral, in line with Eurostat's preliminary guidance on the statistical recording of the Recovery and Resilience Fund (RRF). European Union leaders meet for a year-end … Spain will receive close to €140 billion over the next six years from a €750 billion coronavirus recovery fund that the 27 members of the European Union agreed on in the early hours of Tuesday following a marathon summit in Brussels. EU strikes deal on landmark budget, virus recovery fund. Earlier, on 18 May, Germany and France (through its respective leadership) presented a joint recovery plan for Europe. EU breaks deadlock on budget, coronavirus recovery fund Leaders have agreed to pass the new budget and coronavirus recovery fund, including holdouts Hungary and Poland. The programmes are Horizon Europe, Erasmus+, EU4Health, Integrated Border Management Fund, Rights and Values, Creative Europe, InvestEU, European Border and Coast Guard Agency, Humanitarian Aid. Parliament has also called for a large-scale recovery package to support Europe’s economy after the crisis. EU leaders have agreed on a landmark 750 billion euro ($860 billion) recovery fund for the reconstruction of the region disrupted by the coronavirus pandemic.. For the Commission to start borrowing, all Member States must ratify the new Own Resources Decision in line with their constitutional requirements. The EU's €750 billion recovery fund - What is in it for Ireland? The European Council adopted a seven-year budget and a EUR 750 billion fund for the economy’s sustainable recovery from the coronavirus pandemic at its summit in Brussels and gave the green light for establishing mechanisms … EU leaders went the distance to agree a historic coronavirus recovery fund for the bloc. Brussels, 22. It will be a greener, more digital and more resilient Europe. Europos Komisija palankiai vertina susitarimą dėl 1,8 trln.EUR vertės priemonių rinkinio, kuris padės kurti ekologiškesnę, labiau skaitmeninę ir atsparesnę Europą), (Uniós költségvetés: Az Európai Bizottság üdvözli a zöldebb, digitálisabb és ellenállóbb Európára irányuló, 1,8 billió eurós csomagról született megállapodást), (Il-baġit tal-UE: Il-Kummissjoni Ewropea tilqa' l-ftehim dwar pakkett ta' EUR 1.8 triljun biex jgħin fil-bini ta' Ewropa aktar ekoloġika, aktar diġitali u aktar reżiljenti), (EU-begroting: Europese Commissie ingenomen met akkoord over pakket van 1,8 biljoen euro dat een groener, digitaler en veerkrachtiger Europa tot stand helpt brengen), (Budżet UE: Komisja Europejska z zadowoleniem przyjmuje porozumienie w sprawie pakietu o wartości 1,8 bln euro, który pomoże w budowie bardziej ekologicznej, cyfrowej i odpornej Europy), (Bugetul UE: Comisia Europeană salută acordul privind pachetul în valoare de 1,8 mii de miliarde EUR care va contribui la construirea unei Europe mai verzi, mai digitale și mai reziliente), (Rozpočet EÚ: Európska komisia víta dohodu o balíku v objeme 1,8 bilióna eur, ktorý pomôže vybudovať zelenšiu, digitálnejšiu a odolnejšiu Európu), (Proračun EU: Evropska komisija pozdravlja dogovor o svežnju v vrednosti 1,8 bilijona evrov, ki bo pomagal zgraditi bolj zeleno, bolj digitalno in odpornejšo Evropo), (EU:n talousarvio: Euroopan komissio on tyytyväinen sopimukseen 1,8 biljoonan euron paketista, jolla tuetaan vihreämmän, digitaalisemman ja kestävämmän Euroopan rakentamista), (EU:s budget: EU-kommissionen välkomnar överenskommelsen om ett paket på 1,8 biljoner euro som ska bidra till att bygga ett grönare, mer digitalt och mer motståndskraftigt Europa), (Часът на Европа: възстановяване и подготовка за следващото поколение), (El momento de Europa: reparar los daños y preparar el futuro para la próxima generación), (Chvíle pro Evropu: náprava škod a příprava na příští generaci), (Et vigtigt øjeblik for Europa: Genopretning og forberedelser til den næste generation), (Mitteilung - 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