Hungary, Poland risk exclusion from EU recovery fund – French minister

© Reuters. FILE PHOTO: Weekly cabinet meeting in Paris

PARIS (Reuters) – The European Union will leave Poland and Hungary out of its economic recovery plan if the two countries continue to resist efforts to link the disbursement of 1.8 trillion euros (1.62 trillion pounds) of funds with rule-of-law provisions, a French cabinet minister said.

European Affairs Minister Clement Beaune said such a move was legally complex, but possible.

“Our position is clear: we will not sacrifice either the recovery or the rule of law,” Beaune told the Journal du Dimanche. “There is no question of reviewing the mechanism which links the two.”

Hungary and Poland have for weeks blocked the release of funds from the EU’s seven-year budget and a post-COVID-19 development fund, cash sorely needed by member states trying to emerge from their coronavirus-induced recession.

Beaune said the two eastern members of the bloc stood to lose billions of euros in financing if they dug their heels in.

“It’s not a threat but the direct consequence of the absence of a new budget if they maintain their veto on the package,” he said.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

READ  South America Beef Exporter Sees Swine-Fever Boost Into 2020

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Please enter your comment!
Please enter your name here