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Olaf Scholz is pushing for a quick decision from the EU development fund
Photo: Britta Pedersen / dpa
Federal Minister of Finance and Vice Chancellor Olaf Scholz has called for the European Parliament to speed up legislation on the € 750 billion Corona development fund.
"Now the European Parliament must work to ensure that there are quick decisions and clarify its own positions," said the SPD politician to the Reuters news agency.
"We don't need delays now, we need legislation quickly."
At a summit in July, the EU states agreed on the debt-financed billion-euro plan, which is intended to mitigate the economic consequences of the corona crisis and at the same time promote climate-friendly and digital modernization of the economy.
The centerpiece is the development fund, through which 90 percent of the money is to be distributed.
Controversial access conditions
Among other things, it is controversial which conditions must be met for access to money.
The EU states must draw up reform plans and have them approved.
390 billion euros are to flow as grants, which are not repaid by the recipient states themselves, but are repaid as joint EU debts.
A further 360 billion euros are available as loans.
In total, the plans of the 27 EU countries have a volume of 1.8 trillion euros.
Germany currently holds the EU Council Presidency.
According to government circles, there is a risk of a standstill because parliament has not yet positioned itself and the talks are not moving forward.
This could also put the compromise on the medium-term budget at risk again.
Scholz said it was important to have the funds up and running early next year.
"That's why the legislation must be completed this year."
There should be no more tactical games.
"Now it's about the major European reconstruction program. And that must finally come into force so that the high funds can actually be used," said the Federal Minister of Finance.
Scholz hopes for progress in the taxation of Internet companies
Scholz also hopes that progress will soon be made with the taxation of Internet companies.
"I want that to move forward within the European Union," he told Reuters.
"A central issue here is that the large platforms report the sales that are made on them to the responsible authorities."
Hopefully a corresponding directive will be implemented this year under the German EU Council Presidency, said Scholz.
The European finance ministers will hold virtual discussions on Tuesday and Wednesday, including on this topic.
On a global level, work is underway on a tax reform under the umbrella of the industrialized nations organization OECD in order to adapt the rules to the digital age.
A basic framework was recently decided on, although important details remained open.
In the end, there must also be political approval from all countries, which is particularly questionable in the USA.
That should be clarified by mid-2021.
Otherwise, the EU Commission wants to develop and present plans for its own digital tax in Europe during the same period.
These goals are therefore coordinated, said Scholz.
"This is a big step forward when you compare it with the tough process of recent years."
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