July 18, 2025
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Economy

France defends EU budget of 2 trillion euros amid skepticism from other countries

France defends EU budget of 2 trillion euros amid skepticism from other countriesFrance supports the European Commission’s proposal for an EU budget of almost 2 trillion euros for 2028–2034, citing threats from
Russia. Germany, Austria, Finland, Sweden, and the Netherlands consider such expenditures excessive and demand a more frugal
approach.

”, — write: unn.ua

During negotiations in Brussels, French Minister for European Affairs Benjamin Haddad defended the European Commission’s ambitious proposal for a budget of almost 2 trillion euros for 2028–2034. France emphasizes the need for a strong and capable EU in the context of threats from Russia and the uncertainty of US security guarantees. In contrast, Germany, Austria, Finland, Sweden, and the Netherlands consider such expenditures excessive and demand a more frugal approach, writes EurActiv, reports UNN.

DetailsFrench Minister for European Affairs Benjamin Haddad defended the idea of increasing the EU budget after German Chancellor Friedrich Merz expressed doubts about the proposal to spend almost 2 trillion euros between 2028 and 2034.

“We need a strong EU that will give itself the means to act.”

Haddad emphasized that threats from Russia and uncertainty regarding American security guarantees to Europe are reasons to support an “ambitious” budget.

However, the European Commission’s financial ambitions for the 2028–2034 budget, amounting to almost 2 trillion euros, met with opposition from Germany, Austria, Finland, Sweden, and the Netherlands.

“This proposal is very, very far from our Austrian position and its approval. We initially called for a careful and sensible use of European taxpayers’ money, and this project is neither careful nor sensible.”

“This is a huge amount,” agreed her Finnish counterpart Joachim Strand, emphasizing that the EU must approach the allocation of common funds more carefully.

“The focus is right, but the size is wrong. We need a better budget, not a bigger one.”

Discussions are also ongoing regarding the proposed new sources of funding. France considers the emergence of new revenues a “necessary condition,” while Germany has already criticized the idea of a single corporate tax, considering it illegal. Even before the project’s publication, Sweden negatively assessed the idea of new tobacco duties, calling them “absolutely unacceptable.”

Against this background, Luxembourg’s Foreign Minister Xavier Bettel drew attention to the general dilemma in the approach to the budget: “I know the EU: everyone would like to pay less and get more, but at some point, it no longer works, especially if we have obligations to each other that must be fulfilled.”

Despite the intensity of the discussion, Piotr Serafin remained satisfied with the results, describing the discussions as “extremely constructive, informative” and marked by “a great deal of pragmatism.”

He also reminded that effective financing of defense and competitiveness is possible precisely at the EU level, and increasing the common budget can help member states achieve the 5% defense spending envisioned by NATO standards.

AdditionFrance and Ireland categorically opposed cuts to EU agricultural subsidies, which, according to the new budget proposal, could decrease by approximately 20% and partially merge with other types of payments. French Minister for Europe Benjamin Haddad stated that his country intends to defend every euro in support of farmers.

Irish Minister for European Affairs Thomas Byrne also expressed his dissatisfaction.

“We do not agree with this. We want a strong and separate common agricultural policy that will protect not only direct payments to farmers but also funding for rural development.”

Rumors of a possible 25–30% cut in agricultural subsidies were sharply refuted by EU Budget Commissioner Piotr Serafin.

“Fake news. Direct payments will remain at the current level,” the commissioner assured, emphasizing that the 300 billion euros allocated for them are a minimum, not a limit.

Hungary found that Ukraine could receive 20% of the new EU budget18.07.25, 14:16 • 4178 views

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