European Union

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Whilst Paris and Berlin voiced criticism about the military exercises, Donald Trump was dismissive, saying that China "has been doing naval exercises for 20 years in that area"

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A German government spokesperson was unable to provide a new date for a decision at this stage

Written by Anna Flynn.

Years later, we are all still experiencing the consequences of COVID‑19, with EU countries yet to fully recover from the severe economic downturn that followed the 2020 coronavirus outbreak. As a response, the Next Generation EU (NGEU) instrument was established. It has a strong focus on the green and digital transitions – key priorities backed by the European Parliament. The total budget is €806.9 billion, financed through EU borrowing, the Emissions Trading System (ETS), and the Brexit Adjustment Reserve (BAR). 

While the Council established the NGEU, Parliament co-legislated the rules for its implementation, adopting the regulation on the NGEU’s Recovery and Resilience Facility (RRF) in February 2021. The RRF distributes 90 % of the NGEU funds to Member States, financing reforms and investments specified in separate national recovery and resilience plans (NRRPs). Parliament has called for ensuring that the RRF is managed transparently, that it stimulates progress in the green, digital and energy sectors, and supports children, young people and women. Parliament demands that respect for the rule of law is among the key prerequisites for receiving funding.

Implementation of the RRF enters its final year in 2026, with the deadline for payment execution in December 2026. In June 2025, the Commission underlined that Member States should streamline the NRRPs (for example, through removing targets that won’t be met) and subsequently redirecting the funds.

The European Commission is required to update Parliament on the state of play of the RRF and present regular reports. In the latest annual report (for 1 September 2024 to 31 August 2025), the Commission outlined that, although the application of RRF projects needs to accelerate; significant progress was made during this period. The Commission noted that 37 % of the 6 985 milestones and targets agreed in the NRRPs had been met (at the time of the report).

To ensure it receives timely and detailed information, and to enable an exchange of views with other institutions, Parliament insisted on a bi-monthly meeting between Members of its Committees on Economic and Monetary Affairs and on Budgets, and appropriate Commission representatives. In addition, Parliament set up a special RRF working group, to discuss the quality of NRRP measures and maintain oversight of overall progress.

Since 2022, Members have looked very closely at RRF expenditure through the annual budgetary discharge procedure. RRF-related issues (which are generally prominent in the work of Parliament’s Committee on Budgetary Control (CONT)) were included in the report granting budgetary discharge to the European Commission in May 2025. In the adopted report, the CONT committee outlined its concern about outstanding debt from borrowing. This was only projected to increase through continued borrowing – some of which would be for the RRF. Notably, the discharge procedure applies only to RRF grants, as the RRF loans do not come under the jurisdiction of parliamentary scrutiny.

In July 2025, the Commission unveiled its proposal for the EU’s long-term budget for the 2028-2034 period. Within this, there is €149.3  billion (0.11 % of the EU’s GNI) set aside to repay the debt from NGEU grants.

Parliament’s powers fall broadly into six, often overlapping, domains: law-making, the budget, scrutiny of the executive, external relations, and, to a lesser extent, constitutional affairs and agenda-setting.

Links

• Recovery and Resilience Facility: Annual Report 2025
• Economic Outlook Quarterly: final year for the implementation for the recovery plans
• EU Budget 2028-2034: Overview of the Commission’s proposal
• The European Parliament’s oversight powers: Tools to scrutinise the European Commission
• Discharge for 2023 budget: European Commission
• RRF under way: Cybersecurity measures

“We are seeing more and more clearly that Russia’s aggression was and is part of a plan targeted against the whole of Europe,” the German chancellor said in his New Year's address

Amid the war in Ukraine and its own political fractures, the EU has managed a modest strengthening of its geopolitical toolkit. Whether that will be enough for the storms ahead is another question

Inside a farmer’s journey from beet grower to 'Pistachio King'

The European Union expressed serious concern on the arrest and detention of human rights defenders and  calls on the Iranian authorities to release all individuals unjustly detained for exercising their fundamental rights, including freedom of expression and assembly.