The European Union borrowed EUR 750 billion in the name of its citizens under Next Generation EU and must repay it.
90% confidence
EconomyEuropean Union
Omissions
The €750 billion figure is expressed in 2018 prices; in current prices the same envelope is about €806.9 billion, so the nominal amount ultimately borrowed/raised is higher.
€750 billion is an authorised ceiling ('up to €750 billion'); the actual amount raised may be below that ceiling.
The borrowed funds are used to finance grants and loans benefiting Member States and their citizens; presenting the sum solely as a burden to be repaid omits that counterpart benefit.
Sources
PrimaryEuropean Central Bank — Economic Bulletin, 'The fiscal implications of the EU's recovery package'For NGEU, the European Commission has been authorised to raise up to €750 billion on the capital markets on behalf of the European Union. The funds can be used to provide loans of up to €360 billion and grants of up to €390 billion. These will be disbursed up to the end of 2026 and repaid by 31 December 2058 at the latest.
PrimaryEuropean Court of Auditors — NextGenerationEUThe NGEU is a temporary instrument that was set up in 2020 to address the socio-economic impacts of the COVID-19 pandemic. It will deliver funding of up to €750 billion, primarily to finance economic recovery in the EU. Spending takes the form of grants and loans to Member States through the Recovery and Resilience Facility and six other EU spending programmes for the 2021-2027 period.
SecondaryEuroparegion Euregio — A Recovery Plan for EuropeIt consists of the EU's long-term budget for 2021 to 2027 of €1.211 trillion (€1.074 trillion in 2018 prices), topped up by €806.9 billion (€750 billion in 2018 prices) through NextGenerationEU, a temporary instrument to power the recovery.