In 2021, an EU funding pot was created to offset the economic damage caused by the corona pandemic. Other states have already received funding. Now, for the first time, money is flowing from the pot to Germany.
According to the EU Commission, Germany has received money for the first time from the EU funding pot ARF, which was created during the Corona crisis. Four billion euros went to Germany, as the EU Commission announced. In mid-September, Berlin requested payment from the Brussels authorities.
electromobility, Hydrogen projects and vaccines
The money should therefore be used to expand electromobility and for hydrogen projects. The digitalization of the railways, the development of vaccines and the promotion of child care, training and the digitalization of public administration were also mentioned as examples.
According to calculations by the EU Commission, the Federal Republic will be able to draw a total of 28 billion euros from the pot.
Financing through debt
The funding pot – the so-called Recovery and Resilience Facility (ARF) – was created in 2021 to deal with the economic damage caused by the corona pandemic. According to the latest figures, it enables 338 billion euros in non-repayable grants and 385 billion euros for loans. The funds are financed through debts that are to be repaid together by 2058.
In order to receive the aid, member states must submit a plan with concrete investment and reform projects. The money is performance-dependent and should only be paid when promised milestones and target values in the implementation of planned reforms and investments have been achieved.
