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Dutch PM Mark Rutte being stingy |
The Netherlands and Spain are at opposite ends of the debate about
the EU's recovery package. But they must realise they are in the same
boat.
The Covid-19 pandemic has triggered an unprecedented recession in
Europe which has hit the EU at a delicate moment. It could be the
toughest test for European integration yet. A strong, fast and
coordinated, response is essential.
The European Central Bank has deployed an unprecedented asset-purchase
programme, the European Commission has for the first time ever lifted
restrictions on fiscal expansion and state aid, and the Eurogroup agreed
new European Stability Mechanism credit lines, emergency measures to
support those unemployed, and new funds for the European Investment
Bank. Now it is time for the heads of state and government to rise to
the challenge
The internal market, the monetary union and the Schengen travel zone
are at risk, and populist anti-EU voices stand ready to exploit
disagreements that have emerged among member-states.
A piece of unfinished business is the
so-called EU Recovery Fund.
It is based on a Commission proposal, and is integrated into the EU's
draft seven-year budget. It would allow for investment in the EU of
almost two trillion euros, some of it in the form of debt issued by the
Commission.
The sooner a deal is reached, the quicker the money can be The sooner a
deal is reached, the quicker the money can be released and the faster
the recovery will be.
Read more:
Spanish vs Dutch views on the EU Recovery Fund