Revision of the Multiannual Financial Framework: An extended EU budget

The European Parliament adopted the Council’s proposals on the revision of the 2014-2020 Multiannual Financial Framework. The revision increases the EU budget by €6 billion, while affirming the cohesion and agricultural funds that were already granted to the Member States – including Hungary.

According to the EP’s report, the mid-term revision of the current Multiannual Financial Framework must be completed as soon as possible, which means that the European Parliament has to consent to the compromise proposed by the Council in the shortest possible period of time. This is of key importance to Hungary for two reasons: the Council affirmed that during the revision there will be no decreases in the cohesion, agricultural and rural development funds – the amounts previously granted to Member States. Achieving this, we succeeded in ensuring that the resources won under the Orbán Government will not be reduced, and the subsidies for Hungarian farmers remain guaranteed. At the same time, the revision of the Multiannual Financial Framework can help us avoid the liquidity crisis of the previous Framework, when the Commission could not cover the invoices of already completed projects. The Council’s compromise could be a sufficient guarantee that there will be enough resources in the annual budgets to pay for the cohesion programmes already in progress and for the agricultural subsidies.

Background: The European Parliament adopted its statement via consent procedure on the revision of the Multiannual Financial Framework. This must be confirmed by the Council, the body composed of the representatives of national governments.