WATCH: Updated economic package as proposed by President Michel

The updated economic package as proposed by the President of the European Council Charles Michel includes €360 billion in loans and €312.5 billion in direct grants. With the grants, a further €77.5 billion need to be added divided between strategies and different initiatives for a total of €750 billion.

The details of the so-called Nego-Box ġdid (Negotiation Box) are being given to the different Prime Ministers and Heads of Government during another plenary session of the European Council which has just started meeting.

The Council has been in session since Friday discussing not only the size of the budget up to 2027, but also the Coronavirus fund. There is a lack of agreement about this fund because of the balance between grants and loans.  Over the last few hours, President Michel presented this ‘sizeable’ package which is agreeable to a number of countries which subsidise the EU budget the most, but at the same time which is being criticised by others, even by the President of the European Parliament, David Sassoli, because it does not show enough solidarity with member states who are most in need.

Meanwhile according to the new EU proposals, the EU Budget up to 2027 should amount to €1.074 billion.

Speaking about the new proposals, President Michel made sure to also address those conditions which The Netherlands and four other countries wanted to impose on the protection of the rule of law, and to which Hungary and Poland have long been objecting, from the beginning.  There is also a change in the governance and workings of the Recovery Fund.