The European Union may postpone discussions on its seven-year budget until after the German elections – Politico

The European Union is likely to postpone discussions on its seven-year budget for 2028-2034, which will include further aid for Ukraine, until after the German elections, scheduled for next fall.

This was reported by “Politico”.

The EU budget requires unanimous approval, and reaching an agreement without the participation of the bloc’s richest country, Germany, would be impossible. Therefore, the EU is currently in a “waiting mode.”

“We cannot make any decisions, introduce new taxes, or create new financing until the vote” in Germany, said an EU diplomat.

For Germany, expanding the EU budget or issuing joint debt obligations are “extremely sensitive issues,” particularly after a ruling by the Constitutional Court that deemed the use of remaining funds from the COVID fund for other purposes illegal.

As a result, Germany, the economic backbone of the EU, has become “politically paralyzed” and is likely to oppose the European Commission’s proposals to increase the EU budget. Following the elections, a more financially conservative party, the Christian Democratic Union (CDU), of which European Commission President Ursula von der Leyen is a member, may come to power.

The article also recalls that the EU experienced a similar paralysis in the first half of 2024 due to the European Parliament elections, during which the EU institutions were largely in “bureaucratic reboot mode.”≠