June 05, 2020 |
Well-functioning and liquid gas markets are a prerequisite for ensuring affordable energy for consumers, competitiveness of industries, and security of supply. They also play a role in achieving the environmental ambitions of the European Green Deal, which foresees the decarbonisation of the gas sector via a forward-looking design for a competitive decarbonised gas market.
To support the reflections on the possible need to enhance the EU regulatory framework for gas markets in the context of the European Green Deal and the trajectory towards the decarbonisation of gas, two studies have been published, commissioned by the Directorate-General for Energy of the European Commission.
It is important to note that the studies reflect only the views of the authors. They have neither been adopted nor in any way approved by the Commission and should not be relied upon as a statement of the Commission’s views. The results of the studies do not bind the Commission in any way. Any possible implementation of options and/or recommendations identified will be assessed in the context of the policy objectives established in the Green Deal Strategy and subject to an impact assessment.
Gas market upgrading and modernisation – Regulatory framework for LNG terminals
The study was conducted by a consortium of consultants led by Trinomics in collaboration with REKK and Equidity. The study identifies barriers and gaps that may need to be addressed in order to ensure optimal use of existing LNG terminals in the EU. This finding is especially relevant due to the significant increase of LNG imports to the EU in the recent years. The study suggests recommendations that would allow the better use of existing LNG terminal capacities, improve their link with the gas market, and facilitate the response to market demand.
Upgrading the gas market – Regulatory and administrative requirements to entry and trade on gas wholesale markets in the EU
The study was conducted by a consortium of consultants led by Schönherr attorneys at law, identifying existing administrative and regulatory requirements to enter and trade on the EU wholesale gas markets.. Based on the overview of current barriers to entry and trade on wholesale gas markets, possible legislative options at EU-level to mitigate them are analysed, including mutual recognition, minimum requirements, an EU pass porting system, and the abolishment of licensing requirements.
Compliments of the European Commission.

June 08, 2020 |
• Further decline – by 6.3% on average – in number of bank branches in most EU Member States
• Number of bank employees also continued to fall by 0.9% on average
• Share of total assets of the five largest banks, at national level, ranged from 28% to 97%
The European Central Bank (ECB) has updated its dataset of structural financial indicators for the banking sector in the European Union (EU) for the end of 2019. This annual dataset comprises statistics on the number of branches and employees of EU credit institutions, data on the degree of concentration of the banking sector in each EU Member State, and data on foreign-controlled institutions in EU national banking markets.
As for the number of branches, the structural financial indicators show a further decline in the EU, on average by 6.3%. There was a decrease in 25 of 28 EU Member States and, at national level, the decrease in the number of branches varied from 0.9% to 37%. The total number of branches in the EU was 163,265 at the end of 2019 with 79 % of them located in the Euro Area.
The number of employees of credit institutions fell in 20 EU Member States with an average reduction of 0.9% across all countries. Decreasing numbers of bank employees is a trend that has been observed in most countries since 2008.
The data also indicate that the degree of concentration in the banking sector (measured by the share of assets held by the five largest banks) continues to differ widely between EU countries. The share of total assets of the five largest credit institutions, at national level, ranged from 28% to 97%, while the EU average was 65% at the end of 2019. The changes in the share of total assets of the five largest credit institutions varied across countries from -3.1% to 7.8%. In the EU, the average variation was 1.5%.
The structural financial indicators are published by the ECB on an annual basis.

Chart 1 – Number of employees of domestic credit institutions
(thousands)

Notes: Interquartile ranges and medians are calculated across average country values. Data for EU28 countries are available. SOURCE: The ECB

Chart 2 – Share of assets held by the five largest banks
(percentages)

Notes: Interquartile ranges and medians are calculated across average country values. Data for EU28 countries are available. SOURCE: The ECB
Compliments of the ECB.

June 04, 2020 |
The U.S. Census Bureau and the U.S. Bureau of Economic Analysis announced today that the goods and services deficit was $49.4 billion in April, up $7.1 billion from $42.3 billion in March, revised. 
Notably, the Commerce Department reported a record 13.7% drop in imports compared to March, and a 20.5% fall in exports—another record—over the same period.
To access the full report: Monthly U.S. International Trade in Goods and Services, April 2020
Compliments of the US Department of Commerce.

June 05, 2020 | Statement by Michel Barnier
“Check against delivery”

Ladies and gentlemen,
I am happy to be with you again, virtually, at the end of this fourth round of negotiations.
Since the beginning of these negotiations, our objective has been to move forward – in parallel – on all topics of our future relationship – and there are many given that we are aiming for a very ambitious partnership.
To achieve this, as I told you at the end of our last round, we needed to make progress on four big sticking points, namely:
• Fisheries, and free and fair competition, the so-called ‘level playing field’ – two essential elements of the new economic partnership we want to build;
• Guarantees protecting people’s fundamental rights and freedoms needed to underpin a close police and judicial cooperation in criminal matters;
• And finally, the governance of our future relationship.
We therefore decided, with David Frost and the UK delegation, to dedicate time to discussing those four points this week.
And I want to thank David Frost personally, but also the two negotiating teams for the mutual respect that they have shown, for the quality of their work in these difficult circumstances, and for their professionalism.
However, at the end of this week, my responsibility – under the authority of President Ursula von der Leyen – as Union negotiator, is to tell you the truth. And the truth is that there was no substantial progress.
• On fisheries, the United Kingdom did not show any real willingness to explore other approaches than zonal attachment on quota sharing. It also continues to condition access to its waters to an annual negotiation – which is technically impossible for us. Whereas the EU wants to build a more stable economic partnership.
• On the level playing field, we didn’t make any progress on these rules of economic and commercial fair play, despite choosing to focus this week on issues that should have been more consensual, such as non-regression mechanisms on social and environmental standards, climate change, taxation or sustainable development.
• On the governance of our future relationship, we were unable to make progress on the issue of the single governance framework establishing legal linkages between our different areas of cooperation.
• Finally, on police and judicial cooperation in criminal matters, we had a slightly more constructive discussion on the question of commitment to the European Convention on Human Rights, although important questions remain as to how to reflect this commitment in our agreement.
On all these points, we are asking for nothing more than what is in the Political Declaration.
 
Ladies and gentlemen,
We can only take note that there has been no substantial progress since the beginning of these negotiations, and that we cannot continue like this forever.
Especially given the United Kingdom’s continued refusal to extend the transition period.
On our side, as President Ursula von der Leyen has said, we were always open to the possibility of a one- or two-year extension, as foreseen in the Withdrawal Agreement. Our door remains open.
But if there is no joint decision on such an extension – as I understand this to be the case – the UK will leave the Single Market and the Customs Union in less than 7 months.
Taking into account the time needed to ratify a deal, we would need a full legal text by 31 October at the latest, i.e. in less than 5 months.
We must use this time in the best possible way.
That is why I suggested, last week already, to David Frost, to accompany our negotiation rounds on all topics with more restricted formats so that we can concentrate on the more difficult issues.
I hope that this will help to inject new political dynamism in the 11 negotiating tables, which we hope will be able to meet physically again in the coming weeks and months, as this could help us gain in efficiency.
Of course, in the coming months, I will continue to work in full confidence and transparency with the Member States and the European Parliament.
Ladies and gentlemen,
To be clear: Our lack of progress in this negotiation is not due to our method, but to the substance.
We must stick to our commitments if we want to move forward!
We engaged in this negotiation on the basis of a joint Political Declaration that clearly sets out the terms of our future partnership.
This document is available in all languages, including English. It is a good read, if I may say so.
This declaration was negotiated with and approved by Prime Minister Johnson.
It was approved by the leaders of the 27 Member States at the European Council in October 2019. It has the backing of the European Parliament.
It is – and it will remain for us – the only valid reference, the only relevant precedent in this negotiation, as it was agreed by both sides.
Yet, round after round, our British counterparts seek to distance themselves from this common basis.
Let me give you four concrete examples, referring precisely to the text of the Political Declaration:
1. Prime Minister Johnson agreed, in paragraph 77 of the Political Declaration, that ‘given our geographic proximity and economic interdependence’, our future agreement must encompass robust commitments to prevent distortions of trade and unfair competitive advantages. This is what, together, we chose to call the ‘level playing field’.
• In this paragraph, Prime Minister Johnson agreed to uphold the common high standards applicable in the Union and the UK at the end of the transition period in these areas: state aid, competition, social and employment standards, environment, climate change, and relevant tax matters.
• We are today very far from this objective.
2. Prime Minister Johnson agreed, in paragraph 66 of the Political Declaration on civil nuclear cooperation, to maintain our existing high standards of nuclear safety.
• We are very far from this objective.
3. Prime Minister Johnson agreed, in paragraph 82 of the Political Declaration that our agreement should cover anti-money laundering and counter terrorism financing.
• We are very far from this objective.
4. Prime Minister Johnson agreed, in paragraph 118 of the Political Declaration, to base our future relationship on an overarching institutional framework, with links between specific areas of cooperation.
• We are, once again, very far from this objective.
In all these areas – and many others – the UK continues to backtrack on the commitments it has undertaken in the Political Declaration.
Including on fisheries, where we committed to use our “best endeavours” to conclude and ratify a new agreement by 1st July 2020.
It seems clear that we will not reach this target considering how the negotiations in this area are going for the moment.
Even in the rare areas where we saw some movement this week, such as the European Convention on Human Rights, we still fall short of what we had agreed in the Political Declaration.
Finally, let me remind you that, since the beginning of these negotiations, the UK has refused to talk about our cooperation on foreign policy, development and defence, even though we agreed this with Boris Johnson in the Political Declaration.
To tell the truth – as a former Minister for Foreign Affairs in my own country – I still don’t understand why.
 
Ladies and gentlemen,
We cannot accept this backtracking on the Political Declaration.
And we will request the full respect of the Withdrawal Agreement.
On citizens’ rights, we continue to be extremely vigilant.
There have been frequent exchanges of information between Vice-President Maroš Šefčovič and Michael Gove on this topic.
Regarding EU citizens residing in the UK:
• We are pleased to hear that 3.1 million EU citizens have already been granted residence status.
• And we are carefully monitoring the situation of more vulnerable citizens that have difficulties applying digitally.
• It is also important that EU citizens residing in the UK have access to social benefits in these difficult times.
As for UK nationals residing in the EU:
• In the 13 Member States that – like the UK – have chosen a constitutive system, we are working to ensure that procedures for applying for residence status are simple, easily accessible, and clearly communicated;
• In the 14 Member States that have chosen a declaratory system, UK nationals will receive a physical document enabling them to prove their status.
We also continue to be extremely vigilant with regard to the correct implementation of the Protocol on Ireland and Northern Ireland.
• The UK Command Paper published on 20th May is useful.
• But there are still a lot of details to be settled if we want to move from aspiration to operation, in line with the legal Treaty.
• Furthermore, some of the objectives set out in this Command Paper – such as avoiding exit declarations on goods moving from Northern Ireland to Great Britain – are incompatible with the legal commitments accepted by the UK in the Protocol.
• So we really need to work more on the technical details.
Only a precise and rigorous implementation of the Withdrawal Agreement can create the confidence we need to build our future partnership.
The 27 Member States and the European Parliament have been very clear about this, including in our negotiating mandate.
 
Ladies and gentlemen,
In the coming days, the Commission will have the opportunity to take stock with the 27 Member States, the President of the European Council Charles Michel, as well as with the European Parliament, its President David Sassoli, and the coordination group chaired by David McAllister.
The month of June will also see the second meeting of the Joint Committee – on 12 June – and the High Level Meeting that we agreed to in the Political Declaration to take stock of these negotiations.
We still need to decide on the date and the modalities of this meeting. This is also the case for the next rounds – the first of which would probably take place towards the end of June or early July.
But it is clear that we are approaching a moment of truth: We expect the United Kingdom to respect its engagements – both when it comes to our, already ratified, Withdrawal Agreement, and to the precise content of the Political Declaration, which remains and will remain the basis and the framework for our negotiation.
If this is the case, and if we keep our mutual respect, our serenity and our determination, I have no doubt that we will find, in the course of the summer or by early autumn at the latest, a landing zone between the United Kingdom and the European Union. Then, finally, we will reach an agreement on our partnership for the future.
Compliments of the European Commission.

Together with our members we are creating a Video series of first-hand accounts of the Pandemic’s impact, both personally & professionally.
We invite you to join us today for a first-hand look at the impact of the global shutdown following the Coronavirus (COVID-19) outbreak – Today we are featuring Catherine Loubier, Delegate General of Québec in New York a EACCNY member.The questions we asked our members for this series are:1) What are some challenges you, personally and your organization have faced?2) What are some of the most surprising (positive, innovative) responses/changes you have witnessed?3) How will this experience change us going forward, as a society and in terms of how we do business?

EACCNY has its finger on the pulse of how this worldwide pandemic is effecting companies and organizations on both sides of the Atlantic. EACC is where Americans & Europeans connect to do business.
Stay tuned for more on this series! We hope you enjoy these short vignettes our members and friends of the EACC created to share their experience.

June 04, 2020 |
Today, the European Commission is announcing a pledge of €300 million to Gavi, the Vaccine Alliance, for the period 2021–2025. It will help immunise 300 million children around the world and finance vaccine stockpiles to shield against outbreaks of infectious diseases.
Today’s Global Vaccine Summit organised by Gavi, the Vaccine Alliance is an important milestone in strengthening health systems and immunisation capacities of the world’s most vulnerable countries. This is instrumental in reaching the objectives of the Coronavirus Global Response.
At the Coronavirus Global Response pledging event co-hosted by the European Commission on 4 May, more than €1.5 billion was pledged for Gavi, the Vaccine Alliance, including €488 million for deploying, once available, a vaccine against coronavirus.
President of the European Commission Ursula von der Leyen said, “Vaccines can only save lives if everyone who needs them can access them, especially in the most vulnerable communities and regions of the world. This is why Gavi, the Vaccine Alliance’s work is so important. It gives developing countries the means to build stronger health systems and immunisation programmes, to make the world a safer place. I am glad that the European Commission can support Gavi in such a crucial endeavour. This will help us overcome this pandemic and avoid another.”
Commissioner for International Partnerships Jutta Urpilainen said, “Building up immunisation systems is a fundamental part of the work the EU does with partner countries and Gavi to strengthen health systems, which will be more important than ever on our road to recovery from COVID-19. Improving children’s access to basic health care, notably effective and safe vaccines, was key to almost halving global child mortality between 2000 and 2017. Ensuring more vulnerable children have continued access to vaccines will be key for our collective success over the next five years.”
The new Commission pledge of €300 million represents more than its total contribution to Gavi, the Vaccine Alliance so far. The funding will help:
• Vaccinate 300 million children and save up to 8 million lives.  
• Ensure the successful transition of some countries into self-financing.
• Leverage US$ 3.6 billion in national co-financing and self-funded vaccine programmes.
• Deliver over 3.2 billion doses of life-saving vaccines to 55 countries.
• Facilitate 1.4 billion contacts between families and health services through vaccination.
• Insure the world against the re-emergence of polio through routine inactivated polio vaccine programmes in collaboration with the Global Polio Eradication Initiative.
• Fund vaccine stockpiles for emergency use to stop dangerous outbreaks.
Today’s pledge is made under the assumption that the EU’s new Multiannual Financial Framework and in particular the Neighbourhood, Development and International Cooperation Instrument (NDICI), where the funds pledged for Gavi, the Vaccine Alliance, would come from, are adopted broadly along the lines proposed by the European Commission. On 2 June, the Commission proposed to increase NDICI funding for 2021-2027 to €86 billion in 2018 prices (€96.4 billion in current prices), including €10.5 billion from the new ‘Next Generation EU’.
Background
Gavi, the Vaccine Alliance, is a non-profit global public-private partnership, based in Geneva. Gavi’s model is designed to leverage financial resources and expertise, bringing together governments and vaccine manufacturers in both industrialised and developing countries, key UN agencies, public health and research institutions, private sector and civil society, to save lives and protect health by increasing access to new and underused vaccines in poor countries. By August 2019, Gavi had helped avert 13 million deaths through routine immunisation for more than 760 million people as well as campaigns in 74 countries to immunise more than 960 million people.
Gavi is one of the 12 global health initiatives that have committed to working better together in the Global Action Plan for Healthy Lives and Wellbeing for All, launched during the High Level Event at the United Nations General Assembly in September 2019.
The Coronavirus Global Response builds on the commitment made by G20 leaders on 26 March to present a united front against the pandemic. With this in mind, on 24 April, the World Health Organization (WHO) and an initial group of health actors launched a global collaboration for the accelerated development, production and equitable global Access to COVID-19 Tools – the ACT Accelerator. Together, they issued a call to action.
The European Commission responded to this call by joining forces with global partners to host a pledging event – the Coronavirus Global Response Initiative – as of 4 May 2020.
The Coronavirus Global Response has so far raised €9.8 billion. The full list of donors and breakdown of donations are available here.
Compliments of the European Commission.

June 03, 2020 |
Today, the Commission launches the second-stage consultation of European trade unions and employers’ organisations on how to ensure fair minimum wages for all workers in the European Union. This follows the first-stage consultation which was open from 14 January to 25 February 2020, to which the Commission received replies from 23 EU-wide social partners. Based on the replies received, the Commission concluded that there is a need for further EU action. Already a political priority for the von der Leyen Commission, recent events have further cemented demand for EU efforts to reduce rising wage inequalities and in-work poverty.
The EU has been particularly hit by the coronavirus pandemic, with negative effects on Member States’ economies, businesses, and the income of workers and their families. Ensuring that all workers in the EU earn a decent living is essential for the recovery as well as for building fair and resilient economies, and minimum wages have an important role to play.Minimum wages are relevant both in countries relying solely on collectively agreed wage floors and in those with a statutory minimum wage.
Minimum wages that are appropriately negotiated with social partners, complied with and updated can:
• Provide vulnerable workers with a financial buffer in case of hard times
• Create greater incentives to work, thereby improving productivity
• Reduce wage inequalities in society
• Increase domestic demand, and the resilience of the economy
• Help close the gender pay gap
When set at adequate levels and taking into account economic conditions, they support vulnerable workers and help to preserve both employment and the competitiveness of firms.
The Commission does not aim to set a uniform European minimum wage, nor to harmonise minimum wage setting systems. Any possible measure would be applied differently depending on the minimum wage setting systems and traditions of the Member State, in full respect of national competencies and social partners’ contractual freedom.
The second-stage consultation document sets out possible avenues for EU action to ensure that minimum wages are set at adequate levels and protect all workers. Collective bargaining has a critical role to play, as underlined by social partners’ replies to the first-stage consultation. Therefore, the EU initiative would aim to ensure that:
• Well-functioning collective bargaining in wage-setting is in place;
• National frameworks allow for statutory minimum wages to be set and regularly updated according to clear and stable criteria;
• Social partners are effectively involved in statutory minimum wage setting to support minimum wage adequacy;
• Minimum wage variations and exemptions are eliminated or limited;
• National minimum wage frameworks are effectively complied with and monitoring mechanisms are in place.
Social partners are invited to respond to the questions in the consultation by 4 September 2020. This includes what sort of instrument would be most appropriate. The Commission is considering both legislative and non-legislative instruments, i.e. a Directive in the area of working conditions, and a Council Recommendation.
In light of the current circumstances related to the coronavirus pandemic, and to grant social partners sufficient time to submit their replies, this period is longer than in previous consultations.
The next step to this second stage consultation is either negotiations between social partners with a view to concluding an agreement under Article 155 of the Treaty on the Functioning of the EU (TFEU) or the presentation of a proposal by the European Commission.
Members of the College said:
Valdis Dombrovskis, Executive Vice-President for An Economy that Works for People, said: “As we work towards inclusive recovery from the coronavirus crisis, we want to make sure that all workers in the EU are protected by a fair minimum wage, allowing them to earn a decent living wherever they work. Social partners play a crucial part in negotiating wages nationally and locally, and should be involved is setting minimum wages both in countries relying solely on collectively agreed wage floors and in those with a statutory minimum wage.”
Nicolas Schmit, Commissioner for Jobs and Social Rights, said: “One in six workers are classified as low-wage earners in the EU, and the majority of them are women. These workers kept our societies and economies alive when all else had to stop. But paradoxically, they will be hit the hardest by the crisis. Work towards an initiative on minimum wages in the EU is an essential element of our recovery strategy. Everyone deserves a decent standard of living.”
Background
In her Political Guidelines, President von der Leyen pledged to present a legal instrument to ensure that all workers in the Union are protected by a fair minimum wage, allowing for a decent living wherever they work.
As part of the Communication on a Strong Social Europe for Just Transitions, the Commission launched the first-stage consultation of social partners on how to ensure fair minimum wages for all workers on 14 January 2020. The first-stage consultation ended on 25 February and the Commission received 23 replies from European social partners representing trade unions and employers’ organisations at EU level.
After considering the views expressed by the social partners in the first-stage consultation, the Commission has concluded that there is a need for EU action. Therefore, the Commission is now launching the second-stage consultation of the social partners, in accordance with Article 154(3) of the Treaty on the Functioning of the European Union (TFEU).
There will not be a one-size-fits-all minimum wage. Any potential proposal will reflect national traditions, whether collective agreements or legal provisions. Some countries already have excellent systems in place. The Commission wishes to ensure all systems are adequate, have sufficient coverage, include thorough consultation of social partners, and have an appropriate update mechanism in place.
This initiative would support the implementation of Principle 6 of the European Pillar of Social Rights on wages, which is a shared responsibility of Member States, social partners and EU institutions. The Commission launched a broad discussion on a future Action Plan to fully implement the European Pillar of Social Rights, to be presented in early 2021. The Commission invites all stakeholders to present their views by November 2020. A dedicated website called “Have your say on reinforcing Social Europe” has been created to collect feedback.
For More Information
Second-stage consultation of social partners on Fair Minimum Wages in the EU
First-stage consultation of social partners on Fair Minimum Wages in the EU
Communication: a Strong Social Europe for Just Transitions
Have your say on reinforcing Social Europe
Compliments of the European Commission.

May 27, 2020 | Speech by Ursula von der Leyen
“Check against delivery”

Mr President,
Honourable Members,
Europe is a story about generations.
And each generation of Europeans has its own story.
For our Union’s founding generation, the story was about building a lasting peace where there was only suffering, pain and destruction.
For the generation that followed, it was about pursuing prosperity and freedom by choosing the unity of our single market and our single currency.
Our next story was about reuniting our European family by bringing our brothers and sisters back in from the cold and welcoming them home – to the heart of our Union.
All those generations, and all those historic achievements, were built on the ones before and inspired the ones after.
For each generation, the choice has always been a choice between taking the path of least resistance alone or moving forward together – with vision and ambition –towards the same destination.
At these decisive moments, we have always opted to take a leap forward together.
Since the boldest measures will always be the safest for Europe.
This is what has enabled us to build a Union of peace and prosperity without peer or precedent anywhere in the world.
 
Honourable Members,
Today, we face our very own defining moment.
What started with a virus so small your eyes cannot see it, has become an economic crisis so big that you simply cannot miss it.
Our unique model built over 70 years is being challenged like never before in our lifetime or in our Union’s history.
The common European goods we have built together are being damaged.
Things we take for granted are being questioned. There is the Single Market that needs to recover. There is the playing field that needs to be made even again. And there are four freedoms that need to be fully restored.
The crisis has huge externalities and spillovers across countries. None of that can be fixed by any single country alone. A bankrupt company in one Member State, is a reliable supplier gone for a business in another. A struggling economy in one part of Europe, weakens a strong economy in another part.
This is about all of us. And it is way bigger than any of us.
This is Europe’s moment.
We see the economic, fiscal and social fall-out across our Member States.
Divergences and disparities widen.
Complex questions of sovereignty and burden-sharing have to be balanced.
And so in front of us once again is that same binary choice.
We either all go it alone; leaving countries, regions and people behind, and accepting a Union of haves and have-nots, or we walk that road together.
We take that leap forward.
We pave a strong pathfor our people and for the next generation.
For me, the choice is simple.
I want us to take a new bold step together.
Europe is in a unique position to be able to invest in a collective recovery and a common future.
In our Union, people, business and economies depend and rely on each other.
In our Union, cohesion, convergence and investment are good for all.
And in our Union, we know that the boldest measures truly are the safest for our future.
This is why the Commission is today proposing a new recovery instrument, called Next Generation EU – worth EUR 750 billion.
It will sit on top of a revamped long-term EU budget of EUR 1.1 trillion.
Next Generation EU – together with the core MFF – sums up to EUR 1.85 trillion in today’s proposals.
It goes alongside the three safety nets of EUR 540 billion in loans, already agreed by Parliament and Council.
In sum, this would bring our recovery effort to a total of EUR 2.4 trillion.
 
Honourable Members,
Allow me to explain how Next Generation EU will work.
The money will be raised by temporarily lifting the own resources ceiling, to allow the Commission to use its very strong credit rating to borrow money on the financial markets.
This is an urgent and exceptional necessity for an urgent and exceptional crisis.
This is why Next Generation EU will:
Invest in repairing our social fabric,
Protect our Single Market.
Help rebalance balance sheets across Europe.
And while we are doing this, we need to press fast-forward towards a green, digital and resilient future.
This is the future of Europe’s next Generation.
This generation that is globally connected and feels responsible for our world, our planet.
With a clear vision to promote human dignity and the rule of law.
Determined to hold governments more accountable for fighting climate change and saving our nature.
Driven by idealism for Europe and a belief that our Union must strive for better.
So, beyond showing solidarity to overcome the crisis of today, I propose a new Generational Pact for tomorrow.
Yes, the effects of this crisis mean that we need to make investments on an unprecedented scale today.
But we will do it in a way that Europe’s next generation will reap the benefits tomorrow.
Investments that will not only preserve the outstanding achievements of the last 70 years, but that will ensure that our Union is
climate neutral
digital
social
and a strong global player also in the future.
To make this happen, Next Generation EU will direct its massive financial firepower to invest in our common priorities through European programmes.
I am always keen to ensure that this House has its full say on crucial decisions for our Union.
My proposal to invest these funds via programmes in our European budget achieves exactly that.
 
Next Generation EU will restore and rebuild our Single Market – that great generator of innovation, prosperity and opportunity.
All Member States need to invest in technologies that will spark the recovery through new innovation and clean industries.
Next Generation EU strengthens the European Green Deal and Horizon Europe – and will invest in key infrastructure from 5G to housing renovation.
At the same time, we must ensure that the transition to a climate-neutral economy leaves nobody behind.
Next Generation EU will therefore multiply the funding for the Just Transition Fund.
In the same vein,no Member state should have to choose between responding to the crisis or investing in our people.
No Member state should have to choose between responding to the crisis or investing in our people.
Therefore, Next Generation EU increases Erasmus and Youth employment support.
It makes sure that people get the skills and the training and the education they need to adapt to this rapidly changing world.
Next Generation EU will help those perfectly healthy companies that have made the right decisions and investments over decades – but that find themselves at risk now because competitors in other Member States have better access to public or private money to get fresh capital.
It will invest in key European industries and technologies to make crucial supply chains more resilient.
It will ensure Europe remains cutting-edge in key areas like Artificial Intelligence, precision farming or green engineering.
And Next Generation EU will help make our health systems more resilient for future crises.
This investment will be a new European common good.
It will show the true and tangible value of being part of the Union.
And it will be owned by us all.
In total, the Commission will raise EUR 750 billion for Next Generation EU.
Of that total, EUR 500 billion will be distributed in grants and EUR 250 billion in loans passed on to Member States.
 
Honourable Members,
Let me be clear: These grants are a joint investment in our future. They have nothing to do with the past debts of the Member States.
They will be channelled through the European budget. And this will limit each country’s contribution according to a fixed formula.
The grants will be clear investments in our European priorities: Strengthening our digital single market, European Green Deal and resilience.
And the EU budget has always comprised grants. This is nothing new. Grants for targeted investment and reforms, for more cohesionand for convergence of living standards in Europe.
And our European Union is living proof that it works. This Union that has increased prosperity and living standards in every Member State. And investments made through the EU budget have paid off for all – many times over!
And that is exactly what Next Generation EU will do for all of us.
We are investing together in Europe’s future – and will pay everything back according to a known and well-tested formula through future EU budgets.
This is why the Commission will additionally propose a number of new own resources. These could be based on the planned extension of the emissions trading scheme. These could be based on a C02 border tax to counterbalance imports of cheap products from abroad which damage the climate. And these could also be based on a new digital tax.
Here we need to be ambitious and I am counting on your support.
 
Honourable Members,
Now is the time to take the right decision.
To those who fear the cost of investment, I say that the cost on inaction will be much more expensive down the road.
Together we must lay the foundations for our future. And we must make sure that our response lives up to this clearly defined, accidental and truly extraordinary crisis.
So I say let’s put our old prejudices to one side. And let’s rediscover the power of the idea of a united Europe.
The crisis we have to tackle is enormous.
But it is also huge opportunity for Europe. And it is a huge responsibility for us to do the right in this defining moment.
We can now lay the cornerstone for a Union which is climate neutral, digital and more resilient than ever before.
Seventy years ago our founding fathers and mothers took the first courageous step to create a Union of peace and prosperity.
Today is the time to write our generation’s chapter to the story and take another courageous step towards a stronger Union.
We owe it to future generations.
Long live Europe!
Compliments of the European Commission.

Together with our members we are creating a Video series of first-hand accounts of the Pandemic’s impact, both personally & professionally.
We invite you to join us today for a first-hand look at the impact of the global shutdown following the Coronavirus (COVID-19) outbreak – Today we are featuring Maxime Ros, CEO, @Revinax a EACCNY member.The questions we asked our members for this series are:1) What are some challenges you, personally and your organization have faced?2) What are some of the most surprising (positive, innovative) responses/changes you have witnessed?3) How will this experience change us going forward, as a society and in terms of how we do business?

 EACCNY has its finger on the pulse of how this worldwide pandemic is effecting companies and organizations on both sides of the Atlantic. EACC is where Americans & Europeans connect to do business.
Stay tuned for more on this series! We hope you enjoy these short vignettes our members and friends of the EACC created to share their experience.