EU evaluates “Draghi option”: possible use of eurobonds up to 350 billion

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(Telestock) – EU officials they are considering these days the so-called “Draghi option”that is, the possibility of rolling over hundreds of billions of euros of bonds launched during the pandemic to finance the Next Generation EU. This is what an article in the Financial Times reports, according to which the possibility of refinance existing debt up to 350 billion It would allow the EU to avoid debt interest taking up huge resources from the European budget.

The British financial daily puts the burden at around 30 billion, between debt repayment and interest, equivalent to about a sixth of the entire European budget. A figure that, according to Brussels officials, could hinder the EU’s spending power in the coming years.

The report on competitiveness published by Mario Draghi and commissioned by the European Commission, unveiled in recent days, had outlined a worrying picture of the European economy, urging an increase in investments of up to 800 billion euros and the possible financing through “community” instruments. A hypothesis that has met with the firm opposition of the so-called “frugal” States.

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