Exceptional location, exceptional measure. Meeting by videoconference on Tuesday 10 March, the Heads of State or Government of the 27 Member States decided to cooperate more closely to tackle the coronavirus outbreak and thus give more powers to the Commission. In particular, they agreed on a new emergency fund that could reach up to €25 billion.
"The aim of this meeting is in particular to show that European attention is being mobilised at the highest level on these subjects which concern all Europeans. It would be incomprehensible if Europe did not take it up", a European source said, acknowledging that this exceptional meeting was particularly symbolic.
The meeting brought together the 27 European leaders, the President of the European Council, Charles Michel, the President of the European Commission, Ursula von der Leyen, the President of the European Central Bank (ECB), Christine Lagarde, the head of European diplomacy, Josep Borrell, and the President of the Eurogroup, Mário Centeno. A new format that reflects the urgency of the situation. Since 9 March, all Member States have had at least one case of coronavirus on their territory, while German Chancellor Angela Merkel has indicated that she expects 60-70% of the population to be infected.
A €7.5 billion fund
This videoconference, which followed two meetings of the Ministers of Health and a multitude of expert meetings, resulted in five concrete decisions.
The first concerns the economic aspect. At this stage, several Member States have taken measures to help their businesses, including liquidity support for small and medium-sized enterprises (SMEs), deferral of social/tax charges or immediate aid measures).
In their exchange, the EU Twenty-Seven expressed their readiness to act in a coordinated manner on the macroeconomic front. "We will use all the tools at our disposal to make sure we weather this storm", the President of the European Commission summed up at a press conference. "We will ensure that state aid can go to the companies that need it and make full use of the flexibility of the Stability and Growth Pact". She went on to say that she would come up with concrete ideas by the end of the week ahead of the Eurogroup meeting on 16 March (if not cancelled). Earlier in the afternoon, Vice-President Margrethe Vestager had indicated that specific provisions on State aid were laid down in Article 107(b) of the Treaty.
Mrs von der Leyen also announced the development of a 'corona response investment fund' to support health systems, SMEs, the labour market and other vulnerable aspects. The Commission will make available €7.5 billion in cash from the Structural Funds, which could eventually be increased to €25 billion.
More coordination
Asked about the decision of several neighbouring member states to close their borders with Italy (such as Slovenia) or to carry out more checks (such as Germany), the President of the European Commission refused to talk about the "death of the Schengen area", as one journalist suggested. On the other hand, she announced that the Commission would henceforth be in regular contact with the European Ministers of Health and Home Affairs to coordinate these measures.
As to the decisions of some countries to restrict their exports of equipment, Charles Michel indicated that there was a determination to cooperate. "This is a subject we take very seriously. The European Commission has been entrusted with the responsibility of checking the state of stocks and requirements so that there is dynamic management of supplies", he explained.
Finally, the Twenty-Seven decided to set up a scientific council composed of epidemiologists and virologists to adopt guidelines on a regular basis.
In the field of research, the President of the European Commission promised to strengthen initiatives to fund targeted projects, in addition to the €140 million already committed.
All these measures will be discussed at the next European Council on 26 and 27 March, which "will be the occasion to take further decisions if necessary", as Charles Michel said, indicating that this meeting would indeed take place in the presence of all the Heads of State or Government in Brussels.
See the statement by the President of the European Council: http://bit.ly/3aHMeL3 (Original version in French by Sophie Petitjean with the editors)