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The rising cost of European Union borrowing and what to do about it

ISBN: 9789284806270 ;ISBN: 9284806275

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  • Title:
    The rising cost of European Union borrowing and what to do about it
  • Author: Claeys, Grégory ; McCaffrey, Conor ; Welslau, Lennard
  • Subjects: cost of borrowing ; EU borrowing ; EU budget ; European Union ; multiannual financial framework ; public debt
  • Description: The interest rate cost of EU borrowing for non-repayable support, which lies with the EU budget, could be twice as high as what was initially estimated at the start of the EU's 2021-2027 budget cycle. This Bruegel paper finds that the European Commission's issuance strategy can still be improved to reduce EU borrowing costs at the margin. It should also continue to work on building market infrastructures for EU bonds. Moreover if EU countries want to reap the full benefits of EU borrowing, some political progress will have to take place. Finally, the EU should quickly review how interest costs are accounted for in the EU budget and in the MFF.
  • Publisher: Brussels: European Parliament
  • Creation Date: 2023
  • Language: English
  • Identifier: ISBN: 9789284806270
    ISBN: 9284806275
  • Source: EU BookShop

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