'Very important step forward': EU finance ministers agree to €500 billion coronavirus rescue deal

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EU finance ministers have agreed to a €500 billion rescue deal for European countries hit hard by the coronavirus epidemic, but put aside demands from Italy and France for pooled borrowing.

Minister for Finance Paschal Donohoe tweeted this image of EU finance ministers remotely negotiating the coronavirus rescue deal. Image: PaschalDonohoe/Twitter Minister for Finance Paschal Donohoe tweeted this image of EU finance ministers remotely negotiating the coronavirus rescue deal.

“Europe has decided and is ready to meet the gravity of the crisis,” French Finance Minister Bruno Le Maire tweeted after the talks. Germany, the EU’s most powerful member, has refused the pooled debt proposal and ministers agreed only to “explore” the idea under the direction of EU leaders, who are set to meet later in the month.

Despite 19 EU countries sharing a common currency, member states have reacted unilaterally to save their economies, giving richer countries such as Germany a big advantage over those with less spending power. Very significant agreement reached in #Eurogroup. Support available for governments, employers and citizens. It took a few hours to agree, but only because this really matters. Very important step forward.The main component of the rescue plan involves the European Stability Mechanism, the EU’s bailout fund which would make €240 billion available to guarantee spending by indebted countries under pressure.

But the mutualisation of debts was a bridge too far for Berlin and The Hague, which refuse to take on joint loans with highly indebted states such as Italy, France or Spain which they consider too lax in their public spending.

 

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darraghobroin Rotten to the core

Euro currency doesn't suit Italy or Greece. Out...

Bizarre, the EU were awful during this crisis but the answer is more EU.

I cannot believe this.

How much of that pie is Ireland getting 🤔

I hope UK is not getting a cent, the richest country in the world doesn't need any help from EU, corect?

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