May 28, 2020 - Health

EU proposes massive coronavirus rescue package

A masked woman holds the European Union flag
A protester demonstrates against the EU stimulus package in Warsaw, Poland on May 23. Photo: Omar Marques/Anadolu Agency via Getty Images

The European Union is considering an $826 billion coronavirus rescue package to fund recovery efforts in response to the bloc's coronavirus-fueled economic strain, European Commission President Ursula von der Leyen said Wednesday.

Why it matters: The historic fund would bring the EU closer to fiscal union via a shared budget, the New York Times reports — however, all countries have to agree to the fund for it to be implemented.

  • The Netherlands, Austria, Sweden and Denmark are seen as potential vetoes for the vote, as they reject taking on debt from other countries, the BBC reports.

The big picture: Germany, one of the strongest nations in the EU, has broken with tradition in support of collective European debt in the face of the coronavirus pandemic — which could bode well for the package, per the Times.

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