On 21 July 2020, the European Council adopted conclusions on the EU recovery plan and multiannual financial framework for 2021-2027.
On 21 July 2020, the European Council adopted conclusions on the EU recovery plan and Multiannual Financial Framework for 2021-2027.
The conclusions were reached following days of negotiations among the Heads of the Member States on a financial package that had been presented by the EU Commission combining the future Multiannual Financial Framework (MFF) and a specific recovery effort under Next Generation EU (NGEU).
NGEU is a fund to support the recovery and resilience of the economies of the Member States in the midst and following the COVID-19 crisis. For NGEU the Commission shall be empowered to borrow funds on the capital markets on behalf of the Union up to the amount of EUR 750 billion for the sole purpose of addressing the consequences of the COVID-19 crisis. The funds borrowed may be used for loans and expenditure.
For MFF 2021-2027, the overall amount for commitments is EUR 1,074.3 billion.
The next step will be for the Council to take up negotiations with the European Parliament with a view to ensuring finalisation of work on all legal acts in accordance with the relevant legal basis. As soon as the Own Resources Decision has been adopted, Member States will proceed with its approval as soon as possible, in accordance with their respective constitutional requirements.
Originally published 22 July 2020
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