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European leaders struggle to agree on coronavirus recovery fund amid political bickering | CBC News

Byindianadmin

Jul 19, 2020
European leaders struggle to agree on coronavirus recovery fund amid political bickering | CBC News

European Union leaders toiled in search of a coronavirus stimulus deal for a third day on Sunday but German Chancellor Angela Merkel said that the mounting acrimony over the level of spending might not easily be overcome.

Croatia’s Prime Minister Andrej Plenkovic, right, arrives for an EU summit at the European Council building in Brussels on Sunday. Leaders from 27 European Union nations meet face-to-face for a third day to assess an overall budget and recovery package spread over seven years estimated at some 1.75 trillion to 1.85 trillion euros ($2.7 trillion – $2.9 trillion Cdn). (John Thys/Pool Photo via The Associated Press)

European Union leaders toiled in search of a coronavirus stimulus deal for a third day on Sunday but German Chancellor Angela Merkel said that the mounting acrimony over the level of spending might not easily be overcome.

Germany and France, the EU’s powerbrokers, are seeking a deal on a 1.8 trillion euro ($2.8 trillion Cdn) economic recovery package to rescue the bloc’s economies that are facing their worst recession since the Second World War.

Sticking points are the size of the new recovery fund and what proportion should be in grants and loans, with some “frugal” richer states led by the Netherlands pushing to limit it, underscoring the depth of the EU’s north-south split.

Separately, the summit faces difficulties in agreeing the scale of EU budget rebates for richer countries, as well as a dispute over a proposed new rule of law mechanism, which could freeze EU funding to countries flouting demo

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