Newsdeck

Newsdeck

EU pledges 25 billion euros fund to tackle coronavirus crisis

BRUSSELS, March 10 (Reuters) - The European Commission will set up an EU fund with a firepower of 25 billion euros ($28 billion) to tackle the economic crisis caused by the coronavirus outbreak, the head of the EU executive said on Tuesday.

Speaking after an emergency videoconference of EU leaders, Ursula von der Leyen said the investment fund should be financed with 7.5 billion euros of EU money and help vulnerable sectors of the economy.

“This instrument will reach 25 billion euros quickly. To realize this I will propose to council and parliament this week to release 7.5 billion euros of investment liquidity,” von der Leyen told a news conference in Brussels.

Money should start flowing in the coming weeks, she said, adding funds will be channeled to healthcare systems, smaller companies and the labour market.

“We stand ready to make use of all instruments necessary,” the European Council President Charles Michel told the same conference.

He said EU leaders agreed to provide liquidity against the crisis. EU fiscal rules and regulations on state aid will also be relaxed to facilitate public spending, he added. ($1 = 0.8854 euros) (Reporting by Gabriela Baczynska, Francesco Guarascio and John Chalmers; editing by Sandra Maler and Philippa Fletcher)

Gallery

Please peer review 3 community comments before your comment can be posted

A South African Hero: You

There’s a 99.7% chance that this isn’t for you. Only 0.3% of our readers have responded to this call for action.

Those 0.3% of our readers are our hidden heroes, who are fuelling our work and impacting the lives of every South African in doing so. They’re the people who contribute to keep Daily Maverick free for all, including you.

The equation is quite simple: the more members we have, the more reporting and investigations we can do, and the greater the impact on the country.

Be part of that 0.3%. Be a Maverick. Be a Maverick Insider.

Support Daily Maverick→
Payment options

MavericKids vol 3

How can a child learn to read if they don't have a book?

81% of South African children aged 10 can't read for meaning. You can help by pre-ordering a copy of MavericKids.

For every copy sold we will donate a copy to Gift of The Givers for children in need of reading support.