Unique circumstances: after 32 years the EU is facing another emergency budget - Hungary and Poland show no signs of movement

The last emergency budget in the EU was in 1988. In 2021 this scenario could occur again.

Because Poland and Hungary continue to block approval.

What such an emergency budget means.

• The deadlines for the

  EU budget

  are approaching, but

  Hungary

  and

  Poland

  are still reluctant to agree to the financial package.

• Should an

  emergency budget become

  necessary in

  2021

  , there is clear financial leeway for this.

• Most of the

  funding programs will

  expire in 2020.

  The

  Corona aid fund

  can still not flow either.

Strasbourg / Brussels - When it comes to money, there are often arguments.

The

for years.

But the current blockade by

and

in the decision on the

comes in the middle of the Corona crisis.

Many EU countries are

urgently dependent

on

.

But the two member states are bothered by a

, which is why nothing is going ahead.

Instead of a 1.8 trillion euro financial package for the next seven years, there could be an

from January onwards

.

An agreement must therefore be reached in the coming days.

On Monday, December 7th, at midnight, the deadline for the adoption of the

, for which a volume of almost 165 billion euros is planned,

expires 

.

Without the green light for the overarching multiannual financial framework before this date, the EU can only work with an emergency budget from January 1st.

The EU treaties then provide for a budget equivalent to the previous year.

One twelfth of the annual amount is available per month.

EU budget still on the brink: emergency budget threatens

Whether it comes to the emergency budget could already be determined on Wednesday.

The 

then decide whether further negotiations with the European Parliament on the 2021 budget make sense.

So far there are no indications that Hungary and Poland are abandoning their veto.

The aid from the 750 billion euro

would then be missing.

In addition, a large part of the

will expire in 2020 with the current seven-year budget period

and thus the legal basis for the distribution of budget funds.

Funds that have already been promised, for example for

as well as

funds

allocated but not used could then still be paid out.

According to estimates by experts, many countries, including Hungary and Poland,

have not yet called up

large parts of the funds to which they are entitled from, for example, the

funds

in the current budget period.

Some programs could go on for months or even years.

Overall, however, the payments would gradually decrease.

Emergency budget for the EU: circumstances are unique in history

Special regulations

in the event of an emergency budget have so far existed for humanitarian aid, EU administrative costs and agricultural aid, for which the current programs had already been extended by two years for other reasons.

Such decisions are also conceivable in other areas,

but have not yet been prepared

by the

.

New programs could only be launched with considerable effort and a corresponding delay.

This situation would be unique in the history of the EU so far.

In the absence of a budget agreement, there have already been emergency budgets a few times - most recently in 1988. However, this never happened at the end of a multi-year budget period with the associated problems due to the expiring programs - especially in the midst of a

with severe economic turmoil.

+

Ursula von der Leyen, President of the European Commission, recently called on Hungary and Poland to give up their blockade.

© Olivier Matthys / AP Pool / dpa

Delays to the EU budget are already clear - Olaf Scholz is "still confident"

Even a swift agreement with Poland and Hungary after December 7th would mean significant

.

When the deadline expires, the EU Commission must in any case submit a new proposal for the annual budget for 2021, Parliament and member states must each redefine their position and restart joint negotiations.

Federal Finance Minister

(SPD *) said after consultations with his EU colleagues that he was “still confident” that there would be an understanding with Hungary and Poland “soon”.

"I am sure that no one will be so unwise to prevent decisions from being made now." EU Commission President

(CDU) recently asked Poland and Hungary to give up the blockade.

The next summit of EU heads of state and government is scheduled for December 10th and 11th.

List of rubric lists: © Michael Kappeler / dpa