Overview
- Dombrovskis said ministers showed broad support at ECOFIN to keep developing the asset‑backed plan after discussions in Brussels.
- The Commission will soon publish an options paper detailing financing choices for a €130–140 billion support package in 2026–2027.
- Alternatives under review include EU borrowing with member states covering interest to retain grant‑like features, or direct grants that would carry sizable short‑term costs.
- The EU is asking partners to frontload funding in Q1 2026 to cover an expected shortfall, with the UK and Canada open to similar asset‑based schemes and contacts ongoing with Japan; Norway plans about €7.3 billion next year.
- Denmark called the reparations loan the most realistic path under its Council presidency, and the Czech finance minister endorsed the approach while noting legal and host‑country risks.