EU’s Gentiloni: Recovery Fund payments will begin in H2 2021

In an interview with La Repubblica newspaper on Friday, the European Union (EU) Economic Commissioner Paolo Gentiloni said the recovery fund payments will begin in H2 2021 but 10% will be anticipated with plan approval.

Additional quotes

“EU will have to approve new union resources, such as digital tax and co2 tax, to repay common debt between 2026 and 2056.”

“Individual countries will have to repay the money if Europe unable to agree with new resources to repay common debt.”

Market reaction

EUR/USD surged for five-straight sessions, as the shared currency for underpinned by the milestone EU Recovery Fund agreement.

At the press time, the main currency pair eases below 1.1600 amid broad US dollar comeback, as China retaliated against the US’s order to close Beijing’s consulate in Houston earlier this week.