The budget of the European Union (EU) does not reflect the current economic situation in the region, while its applicability is constantly decreasing. In this respect writer Handelsblatt edition.
Europe is in a complex crisis, the EU budget is nearly exhausted, and there are few funds left for necessary expenditures available. All this is due to the consequences of Russia’s special operation in Ukraine, the interruption of gas supplies by Russia and climate change. In addition, the influx of immigrants and the increase in credit costs seriously suppress the economic environment.
Most experts believe that the EU budget should be reviewed. However, a breakthrough in this issue should not be expected, since many countries, including Germany, whose crisis has already begun on the backdrop of the decline in GDP, are not ready for additional costs.
The publication pointed out that the impressive EU budget of 1 trillion euros is actually planned for seven years and 80% of this amount has already been clearly allocated. Therefore, only 30 billion Euros per year remains, which is a very small amount, to modernize the energy sector, support high-tech production and develop new sources of raw materials.
At the end of May, Bloomberg, citing market participants reportedThe economic security of EU countries may be in jeopardy as stability in Germany, the largest manufacturing center in the region, collapses. According to the results of the first quarter of this year, Germany’s GDP fell by 0.3% and this could prevent the exit from the crisis for most European countries.