European Union leaders reached a deal on Tuesday on a package of measures to boost their economies after the coronavirus pandemic, agreeing to borrow and spend hundreds of billions of euros in the next few years and pay them back from new taxes.
European Council President Charles Michel, Dutch Prime Minister Mark Rutte, France's President Emmanuel Macron and Spain's Prime Minister Pedro Sanchez speak during the first face-to-face EU summit since the coronavirus disease outbreak, in Brussels, Belgium July 20, 2020. John Thys/Pool via REUTERS
EU leaders agreed the Commission would cheaply borrow 750 billion euros using its triple-A rating. Of that, it would disburse 390 billion in grants and 360 billion in cheap loans.- Germany, Sweden and the Netherlands would lose their current rebate on the amount of VAT they pass on to the EU.- From 2023 there would be a tax on goods imported into the EU from countries with lower carbon emissions standards than the bloc.
Such new taxes will be expressly allotted to the repayment of the 750 billion borrowing, but they will become part of EU reality for the next 38 years. The disbursement will need the approval of a qualified majority of EU governments and be linked to meeting milestones and targets. If any EU government believes such targets had not been met it can ask EU leaders to debate it within three months.
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
EU leaders reach deal on post-pandemic recovery package for economyEuropean Union leaders reached a deal on Tuesday morning on a post-pandemic recovery package for the economy of the 27-nation bloc offering 750 billion euros in grants and loans to counter the effects of the COVID-19-indiced recession, officials said.
Read more »
European markets head for negative open as EU leaders fail to agree over recovery fundEuropean stocks are expected to open lower Monday after European Union (EU) leaders meeting at the weekend failed to come to an agreement over a multibillion-euro recovery fund.
Read more »
EU's future at stake as tempers fray over recovery fundEuropean Union leaders failed to agree on a huge economic rescue package over the weekend, after fractious talks that were described as some of the most bitterly divided in years.
Read more »
EU extends summit to Sunday after deadlock over COVID recovery planEuropean Union leaders failed to agree on a massive stimulus fund to revive their coronavirus-hammered economies on Saturday after two days of fraught negotiations, but extended their summit for another day to try and overcome their differences.
Read more »
GOP leaders, Trump to discuss virus aid as crisis deepensTop Republicans in Congress are expected to meet Monday with President Trump on the next COVID-19 aid package. The administration is stiffening its opposition to more testing money and interjecting other priorities, which could complicate quick passage.
Read more »
Trump and Congress square off over coronavirus aid as crisis worsensPresident Trump is acknowledging a “big flare-up” in COVID-19 cases, but divisions between the White House and Congress are threatening passage of a new federal aid package.
Read more »