The EU leaders ‘ summit, which lasted for four days instead of two, resumed in Brussels at almost 21.30 local time, said the spokesman for the head of the European Council, Barend Leyts.
“Good evening, and welcome to the European Council on the multi-year budget and recovery Fund. The President has just started a plenary session with 27 leaders,” a spokesman for Charles Michel wrote on Twitter.
Initially, the meeting was scheduled to start at 16.00, but then the start was postponed several times due to ongoing telephone consultations with Michel. Before the beginning of the plenary discussions, Michel said that he had prepared a new proposal on the central theme of the summit-the European economic recovery package, which was the result of three days of joint work.
According to a draft document made available to journalists, in his new proposal, Michel wants to reduce from 500 billion to 390 billion euros the number of subsidies in the created Fund for the recovery of the European economy after the crisis caused by the coronavirus, a total of 750 billion euros. At the same time, the number of loans will be 360 billion instead of 250.
Thus, the President of the European Council made concessions to the leaders of the “lean four” (the Netherlands, Austria, Denmark, Sweden). They were categorically opposed to a large number of subsidies in the Fund.
According to the proposal of the head of the European Council, 70% of the recovery Fund’s funds should be used in 2021-2022 based on EC criteria. Another 30% can be used in 2023. The repayment of the pan-European debt under this Fund should be completed by December 31, 2058. The proposal also preserves the previously announced volume of the Union’s multi-year financial plan for 2021-2027 at 1.074 trillion euros. Also, net donor countries (Germany, the Netherlands, Denmark, Austria, and Sweden) are expected to provide discounts or refunds of part of the contributions from the pan-European budget.